Leading Australian companies, Origin Energy and Suncorp Group, have begun linking office attendance with annual bonuses in an attempt to encourage workplace presence. This move comes in response to the shift towards remote working brought on by the COVID-19 lockdowns.
Suncorp uses individual work plans integral to an employee's scorecard, subsequently affecting their bonus. This practice is seen as central to Suncorp's culture and provides clarity for its staff. The scorecard system targets improving workplace culture based on regular feedback channels. Team leaders use scorecards considering factors like office presence to decide on bonus allocation, with hybrid work being crucial for employee engagement and retention.
Similarly, Origin Energy has implemented a 40% office time rule for its office-based workforce. This strategy aligns with international trends such as Citi Bank's three-day-a-week in-office rule for UK-based employees, which also impacts their bonuses if breached.
These changes reflect employers' concerns over losing control over remote workers, as suggested by labor market researcher Professor John Buchanan. CEOs Ross McEwan of National Australia Bank (OTC:NABZY) and Matt Comyn of Commonwealth Bank have requested senior staff to return to the office.
This shift towards office work is significant considering Census data showed over 2.5 million remote workers in Sydney and Melbourne, highlighting the impact of July's work policy changes.
Moreover, the Future of Work survey from Herbert Smith Freehills law firm disclosed that 37% of senior executives from large Australian corporations intend to implement pay differentiation between remote and in-office workers over the next three to five years.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.