The proportion of the U.S. workforce working remotely has dropped considerably since the start of the Covid 19 pandemic, but office vacancy rates continue to rise.
Fewer than 26% of households have someone who worked remotely at least one day a week, down sharply from 39% in early 2021, according to the latest Census Bureau Household Pulse Surveys. Only seven states and Washington, D.C., have a remote-work rate above 33%, down from 31 states and D.C. at the pandemic peak.
In the first quarter of 2023, about 16.1% of office space across the country was vacant, up from 15% in the first quarter of 2022, according to global data and business intelligence platform Statista. Before 2020 when few had heard the word “coronavirus,” the quarterly office vacancy rate was around 12%.
It may seem counterintuitive for vacancy rates to rise as more workers go back to the office, but remote work is here to stay, and employers have changed their outlook on office space. “With a considerable part of the workforce working from home or following a hybrid working model, businesses are cautious when it comes to upscaling or renewing leases,” Statista says.
“The function of the office has evolved from the primary workplace to a space where employees collaborate, exchange ideas, and socialize,” Statista says. “That has shifted occupiers’ attention toward spaces with modern designs that can accommodate the office of the future.”
Related Stories
Office Buildings | Mar 29, 2015
Chance encounters and the ‘action’ office: Do collisions spark innovation?
Google, Facebook, Samsung, and Tencent have all unveiled plans for “action” offices designed to get their people moving, interacting, huddling, collaborating—all in the name of innovation.
Codes and Standards | Mar 12, 2015
Energy Trust of Oregon offers financial incentives for net-zero buildings
The organization is offering technical assistance along with financial benefits.
BIM and Information Technology | Mar 11, 2015
Google plans to use robots, cranes to manipulate modular offices at its new HQ
Its visions of “crabots” accentuate the search-engine giant’s recent fascination with robotics and automation.
Modular Building | Mar 10, 2015
Must see: 57-story modular skyscraper was completed in 19 days
After erecting the mega prefab tower in Changsha, China, modular builder BSB stated, “three floors in a day is China’s new normal.”
Retail Centers | Mar 10, 2015
Retrofit projects give dying malls new purpose
Approximately one-third of the country’s 1,200 enclosed malls are dead or dying. The good news is that a sizable portion of that building stock is being repurposed.
Office Buildings | Mar 7, 2015
Chance encounters in workplace design: The winning ticket to the innovation lottery?
The logic behind the push to cultivate chance encounters supposes that innovation is akin to a lottery. But do chance encounters reliably and consistently yield anything of substance?
Codes and Standards | Mar 5, 2015
Charlotte, N.C., considers rule for gender-neutral public bathrooms
A few other cities, including Philadelphia, Austin, Texas, and Washington D.C., already have gender-neutral bathroom regulations.
Office Buildings | Mar 5, 2015
Goettsch Partners unveils plans for dual office towers in Warsaw
The Mennica Legacy Tower development is divided into a 35-story tower located on the south east side of the site and a 10-story building on the west side.
High-rise Construction | Mar 4, 2015
Must see: Egypt planning 656-foot pyramid skyscraper in Cairo
Zayed Crystal Spark Tower will stand 200 meters tall and will be just a short distance from the pyramids of Giza.
Transit Facilities | Mar 4, 2015
5+design looks to mountains for Chinese transport hub design
The complex, Diamond Hill, will feature sloping rooflines and a mountain-like silhouette inspired by traditional Chinese landscape paintings.
