A new study by The Conference Board revealed that in-office workers are perceived to have an improved opportunity for promotion over their hybrid and remote work counterparts.
Of note, 10 percent of chief HR officers (CHROs) expect opportunities for promotion is increased for on-site staff over remote staff, with nine percent planning increases in promotion eligibility for in-office over hybrid workers.
The good news, The Conference Board revealed, is that one’s work location has little bearing on compensation.
Despite climbing hiring and retention expectations, however, the survey noted that HR leaders are less optimistic about their ability to keep workers engaged.
“Today’s talent pool places a premium on workplace flexibility—and historic labor shortages reinforce the need for such arrangements,” said Diana Scott, the leader of The Conference Board U.S. Human Capital Center. “Treating hybrid and remote employees equitably when evaluating performance, offering growth opportunities and making compensation decisions will not only help to engage your workforce, but retain them.”
Key findings included:
- Hybrid and remote workers not being financially penalized for working out of office.
- Just three percent of CHROs plan to offer fully-in-office workers a higher salary than remote workers when they hire them. Similarly, four percent will offer fully-in-office workers a higher salary than hybrid workers.
- Three percent plan to offer fully-in-office workers higher merit increases than hybrid and remote workers.
- Three percent plan to increase incentive compensation targets for fully-in-office workers compared to remote workers; two percent plan to increase them compared to hybrid workers.
- 15 percent plan to increase high-profile projects for in-office workers over fully remote workers.
- Seven percent plan to increase development opportunities for in-office workers over fully remote workers.
- 11 percent plan to increase high-profile projects for in-office workers over hybrid workers.
- 13 percent plan to increase development opportunities for in-office workers over hybrid workers.
The CHRO Confidence Index is conducted quarterly, having launched in Q1 2023. It focuses on three components: hiring, retention and engagement, as well as special questions included in each survey. Nearly 120 CHROs participated in the Q2 survey, which was fielded from April 1-May 1.
