In recent weeks, several large law firms have announced plans to adjust their post-pandemic remote work policies, with many requiring lawyers and staff to return to the office at least four days each week.

As of this writing, Latham & Watkins, Skadden Arps Slate Meagher & Flom, Davis Polk & Wardwell, Simpson Thacher & Bartlett, Ropes & Gray, and Vinson & Elkins, have all adopted the four-day in-office requirement. More Big Law players are expected to make similar announcements in the weeks ahead. 

Should midsize firms follow suit? If they do wish to return to more rigid, pre-pandemic policies, law firm leaders should tread carefully. In the four years since the outbreak of COVID-19, remote work has become a fact of life, and moving back to the office four or five days a week could trigger a significant backlash among lawyers and staff. For smaller and midsize firms, a robust work-from-home policy may also offer a leg up in the talent competition. And remote work can boost profitability through savings on overhead, particularly real estate costs.

On the other side of the argument are those who believe more flexible arrangements make it difficult to properly train and mentor associates and staff. Remote work can create challenges in establishing critical professional relationships and may erode teamwork, they argue. And for some team members, work may suffer because of distractions at home, or because they find it difficult to cope with the blurred lines between their personal lives and jobs.

Remote Work Remains Popular

For all the concerns, remote work remains broadly popular among legal professionals. In a survey released in April by Thomson Reuters, just 13 percent of legal professionals said they were unsatisfied with their firms’ attendance policies. Eighty-five percent of those surveyed said their firms required attendance three days a week or less.

This doesn’t mean lawyers are avoiding the office, however. Nearly half of the legal professionals surveyed said they chose to show up four days a week or more. In other words, when they need to be in the office, they are.

The survey also called into question assumptions about requiring attendance to improve productivity and foster collaboration and mentoring. “Two-thirds of those surveyed reported that their office attendance policy has had no effect on their productivity, and only 26% report any improvement. Given the difficulty in self-grading productivity, this is not necessarily a strong result,” the survey said.

Many of the survey respondents said their firms allowed senior lawyers to work from home for additional days but required associates to be in the office more often. “It seems that there is a paradox that many firms may have inadvertently inserted into their office attendance policies…[P]artners, who are the very individuals expected to mentor these associates, are afforded significantly more flexibility to work from home than the average lawyer,” the survey said. “In essence, the students are required to be in school, but the teachers aren’t in the classroom.”

Yet the survey cautioned against jumping to the conclusion that flexible work schedules are a failure if they do not promote increased collaboration and productivity. "Other developments such as technological enhancements that automated previously billable hours and over-hiring relative to law firm demand could be major factors” affecting productivity. And because flexible work policies are overwhelmingly popular, a more rigid approach may increase job dissatisfaction and make retention far more difficult for firms.

Losses and Gains

Business and law firm leaders who are gung-ho for an end to remote work may be having a moment, but not every senior executive agrees. In a survey conducted by the Atlanta Federal Reserve Bank, the University of Chicago, and Stanford, most members of senior management surveyed predicted hybrid and fully remote work policies would continue to increase during the next five years.

For many business leaders, financial considerations are a compelling reason for continuing with and expanding remote work. Stanford University’s Institute for Economic Policy Research has found that fully remote work results in about 10 percent lower productivity than fully in-person work. However, “fully remote work can generate even larger cost reductions from space savings and global hiring, making it a popular option for firms. Hybrid working appears to have no impact on productivity but is also popular with firms because it improves employee recruitment and retention,” the Stanford study said.

From a law firm perspective, fewer employees in the office have meant spending reductions on rent, utilities, office supplies, and maintenance. These savings have been especially appealing for firms to cover their substantial, COVID-era investments in
remote technology.

The Impact on Recruiting and Retention

Recruitment and retention are critical considerations when altering remote work policies. A requirement for more in-office days might appeal to those who prefer or need a physical workspace, and it may strengthen team dynamics and enhance relationships, factors that can be important for attracting candidates who value these aspects of work culture.

Yet a shift towards increased office presence could limit a firm's talent pool, particularly in competitive markets where flexibility is a highly sought-after benefit. For many midsize firms, remote work has allowed them to expand their search for talent well beyond the regions where they currently have offices. Employees who value remote work might seek opportunities elsewhere, leading to higher turnover and the associated costs of recruitment and training.

Firms may need to consider how changes in remote work policies could affect their overall employer brand. A reputation for flexibility and adaptability can be a significant competitive advantage in attracting top talent, especially in an industry where skilled professionals are in high demand.

Issues to Consider

As midsize law firms consider their next steps, here are some issues to consider when making decisions on remote work policies:

1. Evaluate Firm-Specific Needs: Midsize law firms should carefully assess their unique culture, client needs, and workforce dynamics before deciding on a
return-to-office policy. What works for Big Law may not suit midsize firms.
2. Prioritize Flexibility: Consider maintaining or enhancing flexible work arrangements to attract and retain top talent, particularly in competitive markets
where remote work is a key differentiator.
3. Balance Training and Remote Work: Explore hybrid models that allow for in-person mentorship and collaboration while still offering the flexibility that
employees value.
4. Monitor Employee Satisfaction: Regularly ask employees to gauge their satisfaction with remote work policies and make adjustments as needed to
prevent burnout and turnover.
5. Leverage Cost Savings: Take advantage of reduced overhead costs from remote work to reinvest in technology, employee development, or other strategic
priorities.
6. Communicate Transparently: If changes to remote work policies are necessary, ensure clear and consistent communication with employees to manage
expectations and mitigate potential dissatisfaction.

Taking a Long-Term View

While Big Law's move towards more in-office work may create a ripple effect, midsize firms should carefully consider whether following suit aligns with their goals and employees’ needs. The legal landscape has shifted, and so have expectations around work-life balance and flexibility. Midsize firms have an opportunity to distinguish themselves by offering a work environment that fosters both productivity and employee satisfaction. Ultimately, the decision to require more in-office work should be made with a long-term view, considering not just immediate operational needs but also the broader implications for recruitment, retention, and firm culture. A well-considered approach, grounded in flexibility and responsiveness to employee preferences may offer a significant competitive advantage in a rapidly evolving legal market.

 
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