Amazon CEO Andy Jassy has announced a new policy that will require employees to work from the office five days a week starting in January 2025. The decision to move away from the remote work model introduced during the global pandemic comes as part of Amazon’s efforts to return to its pre-COVID work culture. In addition to the return to full-time office work, Amazon plans to reduce the total number of managers within its teams, aiming to increase the ratio of individual contributors to managers by at least 15% by Q1 2025.
These changes mark a significant shift in Amazon’s corporate culture, with Andy Jassy emphasizing the importance of in-person collaboration, streamlined decision-making, and fewer layers of bureaucracy. While the move back to the office has been met with backlash from some employees, Jassy sees it as necessary for successful team dynamics, brainstorming, teaching, learning, and inventing. The new policy also means a return to assigned desks in offices and no longer using shared or agile workstations, as employees are expected to be in the office except for extenuating circumstances.
In contrast to the trend of many companies adopting hybrid work models, Amazon’s decision to require full-time in-office work aligns with a smaller percentage of tech companies that have a full-time in-office requirement. Other large companies, such as UPS and JPMorgan Chase, are also moving towards full-time in-office work. While remote work has been shown to have no effect on productivity or career advancement in some studies, back-to-office mandates have been linked to increased employee turnover, particularly among senior staff.
The shift back to the office could have wider implications for businesses around Amazon campuses that rely on foot traffic, such as restaurants and service providers. Additionally, the policy change comes on the heels of significant job cuts at Amazon, including 27,000 corporate and tech jobs globally and more targeted layoffs in various business units. However, Jassy views the return to full-time in-office work as a pivotal moment in reshaping Amazon’s culture and reinforcing the company’s commitment to a startup mindset.
As Amazon prepares for the transition back to the office, Jassy’s vision is to operate like the world’s largest startup, with a focus on in-person collaboration, individual contribution, and agile decision-making. The shift away from remote work for Amazon’s corporate and tech employees reflects the company’s belief in the benefits of being in the office and working together as a team. While the move may pose challenges for some employees, it represents a strategic decision by Amazon’s leadership to redefine the company’s culture and way of working in the post-pandemic era.
