ABM Industries CEO Sees Gradual Rise in Office Days

Scott Salmirs, the CEO of ABM Industries, one of the largest office maintenance firms in America, has provided insights into the evolving landscape of office spaces as employers adapt to the return-to-office (RTO) trend. With 22 years of experience at the helm of ABM Industries, Salmirs has a unique perspective on how companies are reshaping their work environments to attract employees back to the office.

Despite the apparent plateau in RTO battles, with many companies settling into a hybrid work model, Salmirs notes that the struggle is far from over. Many CEOs are quietly aiming to increase the number of in-person workdays for employees, especially as the labor market shifts in favor of employers. This shift is particularly evident in the current economic climate, where companies are more assertive in their RTO policies.

Salmirs highlights four key changes that businesses are implementing to make their offices more appealing to employees. Firstly, many large companies are downsizing their headcount and streamlining operations, leading them to trade older, less efficient buildings for smaller, higher-quality spaces in prime locations. This strategy is aimed at attracting workers by offering them more desirable work environments. Secondly, companies are moving away from open-plan offices and introducing more private spaces to create a more comfortable and hospitable atmosphere. Thirdly, employers are ensuring that office pantries are well-stocked with snacks and beverages, recognizing the importance of these amenities to employee satisfaction. Lastly, companies are prioritizing cleanliness and hygiene, making sure that workspaces are healthy and safe for employees.

Salmirs also discusses the current state of commercial real estate, noting that Class A buildings—those with top-notch amenities—are thriving, with high leasing rates and occupancy levels. In contrast, Class B and C buildings are struggling due to reduced demand. This trend is driving companies to invest in better-quality spaces to entice employees back to the office.

Looking ahead, Salmirs predicts that the future of RTO will see a gradual increase in the number of in-person workdays, with companies likely to add one more day to their current schedules over the next six to nine months. This incremental approach reflects the evolving needs and preferences of both employers and employees in the post-pandemic era.

In summary, as employers continue to navigate the complexities of RTO, they are making strategic changes to their office spaces to create more appealing and functional work environments. By focusing on quality, privacy, amenities, and cleanliness, companies aim to attract and retain employees in an increasingly competitive labor market.