Zoom has issued a directive for its employees to come back to the office, marking a significant shift since the surge in usage during the COVID-19 pandemic.
The technology firm is now asking all employees residing within a 50-mile radius of a company office to go in at least two days every week on a hybrid basis.
According to a statement provided to Business Insider by a company spokesperson, Zoom is endorsing a structured hybrid model, requiring employees living near an office to be physically present for two days weekly to foster team collaboration. This approach is deemed most effective for the company, enabling them to harness their own technological advancements, drive innovation, and continue catering to their global clientele.
“As a company, we are in a better position to use our own technologies, continue to innovate, and support our global customers,” the spokesperson said.
Zoom’s shares experienced an unprecedented surge in 2020 as the COVID-19 pandemic prompted a widespread shift to remote work, connecting millions of employees and students through virtual interactions. Despite the presence of alternative video conferencing tools like Skype and Microsoft Teams, Zoom swiftly emerged as the preferred choice for online communication.
However, by the close of 2021, Zoom’s stock took a significant dip, resulting in a loss of over $100 billion in market value, according to reports. This decline can be attributed to the gradual return of employees to physical offices worldwide, diminishing the demand for video conferencing services. This trend has persisted into the current year, as workers continue to transition back to in-person work settings.
In January 2022, Zoom reported that only a mere two percent of its workforce was operating from its physical offices.
Earlier this year, in the wake of declining net profits, Zoom joined fellow tech companies such as Meta and Amazon by reducing its workforce, resulting in the layoff of approximately 1,300 employees.
