Hybrid work arrangements have become the standard

The pandemic outbreak resulted in tremendous changes of work arrangements that increased the flexibility on the labor market. As of 2023, roughly one-fourth of employees had hybrid work arrangements and another 7.9% worked fully from home. Although these results are based on US data, we believe that similar changes took place across Europe and work from home became a permanent arrangement for many employers. The cross-country data show that while the number of desired full workdays at home oscillates between 1.5 and 2 days, employees are offered mostly up to 1 day work from home. Hybrid or fully remote work is industry-dependent, however. While almost 70% of full-time workers in information or finance and insurance enjoy hybrid or fully remote work arrangements, the opposite is true for hospitality and the food industry. We see flexible work arrangements as an incentive to remain active on the labor market for longer.