Just 10% of human resources professionals say that their organisation has a 100% level of compliance with on-site or hybrid attendance policies, new research has established.
But the study also found that almost half of respondents reported a compliance level of at least 50%.
The HR Update report, published by Ibec to coincide with its annual HR Leadership Summit, also found less than a quarter of companies have received applications for flexible or remote work.
That is despite the introduction of a right to request remote working in March of this year.
The research also found that the implementation of compulsory attendance for all or certain days has risen by six percentage points to 26% since last year, as the push for a return to the office by some organisations continues.
There has also been a rise in the number of firms clarifying what work has to be done on site and what can be done off-site, which is up five percentage points to 13%.
Just over a quarter of businesses with off-site workers said they are are thinking of increasing on-site attendance, although more than half have no plans to do so.
However, the survey also reveals the ongoing value that workers put on remote and hybrid working, with half of respondents saying it is more difficult to recruit and retain staff for fully on-site positions.
“Data on enforcement, formal remote work requests, and planned changes suggest that companies aim to establish sustainable work practices that benefit both their staff and the business,” said Maeve McElwee, executive director of employee relations at Ibec.
“In most cases, employers are striving to balance flexible working with operational requirements, company culture, and the need to support new or less experienced colleagues.”
“While there is a growing trend toward increased in-person attendance when comparing 2023 to 2024, remote and hybrid options are still being offered where they benefit both employees and the company. Additionally, businesses are implementing various initiatives to encourage on-site attendance, with team and collaboration days being the most common.”
The survey also revealed that pension auto enrolment is the issue having the biggest impact on organisations, with this cited by six in ten participants.
The next most impactful issue was said by respondents to be employee expectations on remote and hybrid working, followed by statutory sick pay changes.
“In addition to regulations around remote working, the Sick Leave Act 2022, the EU Corporate Sustainability Reporting Directive (CSRD), and the Gender Pay Gap Information Act 2021 are all impacting businesses, with further regulations expected to take effect over the next two years,” said Ms McElwee.
“As we approach a new government, it is important that policymakers remain acutely aware of the implications these changes have on businesses.”
“While many of these regulations represent positive steps in principle, the challenge for businesses remains to balance the costs, timelines, and implementation of these changes while trying to operate in a highly competitive landscape.”
84% of businesses said they expect their organisation’s basic pay rate would increase next year, with 40% predicting it would rise by 2-3% and a quarter saying 3-4%.
Four in every ten said they expect their businesses headcount will rise next year, with increased production or demand the biggest driver.
Employee turnover was found to be lower than last year, at 8.3%.
When it comes to the talent acquisition and retention challenges, the research found availability of talent and skills was the greatest, followed by that competition for skills leading to upward pressure on wages.
Over a third of organisations said they have or are developing a formal policy on AI use.
The survey found there has been a positive shift in attitudes toward AI over the past year, with 70% of organisations recognising its potential to enhance productivity.
However, fewer organisations report actively applying AI.