IT firms unlikely to give up hybrid work model anytime soon

Only 15% respondents in a HYSEA survey favour all employees back in office on all working days

A survey by Hyderabad Software Enterprises Association (HYSEA) on the return to office plans of IT firms for 2022 shows that nearly two-thirds of the 68 respondents want all employees back in office but in a hybrid model.

In other words, the firms are open to calling all employees back to office, from the predominant work from home (WFH) mode to which they switched in the face of the pandemic. However, the firms would like to continue with the WFH option for some days of the week.

While 65% of respondents favoured this approach — that would also require those who moved to another location in view of WFH to return to Hyderabad — 15% said they want all employees back in office on all working days. The remaining respondents said future model for them will be having only essential employees [in office] or following a role-based hybrid model.

In a positive indicator for return to office, more than 56% of offices are fully functional and employees allowed to work from office. While 28% of the offices are open in a restricted way for critical resources, 16% are yet to open, HYSEA said on the survey findings.

The results are statistically robust and representative of the industry view, HYSEA said, citing how SMEs, large and very large companies – based on headcount – across IT services, products as well as Indian and MNC companies participated in it. The Telangana government had been nudging IT firms to resume work from office as thousands of people are dependent on them indirectly for a livelihood.

HYSEA president Bharani K. Aroll said the survey findings were important as they show many companies fully operational and open to employees returning to office. This is a welcome shift from their WFH approach, he said, adding how the industry is keen on growth of the ecosystem and its support partners. One of the factors bound to influence the return to office is nearly 80% of the population is fully inoculated against COVID.

“Hybrid work model is here to stay based on majority of the responses. If schools operate in full physical mode, then there is a possibility of more employees returning to Hyderabad and offices,” HYSEA said. An estimated 40% of the IT workforce is outside Hyderabad and offices continue to function at an average of only 10% employees working from offices and rest WFH in Hyderabad or elsewhere.

Many companies have either already written or are planning to write to employees, asking them to return to office. However, 27% of the respondents said they have no plan to send out such a communication.

About 45% of the respondents felt productivity issue was the main driver for return to office policy. It was followed by client and business imperatives (22%), while 33% of the firms felt employee morale, lack of collaboration and bonding as reasons to return to office. ‘Moonlighting’ or employees working on multiple jobs simultaneously was not a major issue for most of the respondents, the association said.