This article is from the Australian Property Journal archive
COMPANIES are broadly misusing their office space, with more than half of desks being used for less than an hour each day.
According to a new report on workplace utilisation from XY Sense, which is based on data from 34,264 workspaces across the US, UK, and APAC, 53% of desks and workstations are sitting empty for the majority of the day, every day.
The report found that global workplace utilisation is currently at 27%, or around about half utilisation levels record pre-pandemic.
Despite sweeping return-to-office mandates in Q3 2023, data shows no real change in utilisation compared to the previous quarter.
“All these empty desks are vivid proof that workplace mandates are having little effect on worker behavior patterns,” said Shivaun Ryan, report author and Head of Customer Success at XY Sense.
“The “all-stick,” “…or else” mandates from corporate exec teams to drive more workplace attendance and real estate utilization are officially a flop. It’s time for companies to address their excess office space head-on and begin redefining their workspaces better to reflect changing employee needs and preferences.”
The UK saw the highest rate of workplace utilisation at 43%, with a major dip to APAC at 27% and utilisation the lowest in the US at 21%.
Utilisation rates are 79% in the midweek, compared to Mondays and Fridays, and is at its highest on Tuesdays at 34%.
While workers spend the least amount of time at their desks on Fridays, where utilisation is at just 15%.
Office space may be being misused, with desks sitting vacant while organisations struggle to find suitable meeting space for current workplace configurations.
With average utilisation of meeting spaces 23% higher than for desks.
“Workplace leaders are well aware that shortages of meeting space create barriers to continued improvement in worker time spent in offices,” added Ryan.
“When teams come in to meet but cannot find a suitable place, they question the value of ever spending time in the office.”
On the other hand, most conference rooms have average capacity that exceeds what’s needed for most meetings.
With in-person meeting attendance averaging just two people, while rooms with a capacity greater than seven-people less than 37% full on average.
Despite the talk around break out areas, enclosed meeting rooms saw 50% utilisation, while open collaboration areas were utilised just 14% of the time.
“As companies explore rightsizing, the answer isn’t as simple as just shedding 50% of office space,” said Alex Birch, co-founder and CEO at XY Space.
“Companies need to be able to support ‘surge’ Tuesdays and Wednesdays and adapt offices for new hybrid work styles, all while addressing the incredible amount of waste in the current system. It’s a balancing act that is testing many companies and having the right data is the key to solving the challenge.”
