The coronavirus pandemic may be changing the corporate world permanently, as remote work becomes the “new normal." And some companies are embracing working from home, even after the pandemic ends.
Twitter (TWTR) - Get Report employees have been given the option to work from home permanently.
"If our employees are in a role and situation that enables them to work from home and they want to continue to do so forever, we will make that happen. If not, our offices will be their warm and welcoming selves, with some additional precautions, when we feel it’s safe to return," said Twitter CEO Jack Dorsey.
Nationwide Insurance is another company that's embracing remote working. It has shut down half a dozen offices around the U.S. and is having its workers telecommute instead.
According to The New York Times, research firm Nielsen plans to convert its NYC offices into team meeting spaces. Its employees will be able to choose to work from home most days of the week.
Tech companies other than Twitter are also extending work from home beyond the summer. Google (GOOGL) - Get Report and Facebook (FB) - Get Report have both said employees can continue remote work through the end of the year.
Major banks, like Barclays and Morgan Stanley (MS) - Get Report, are reportedly reconsidering the office model, with the CEO of Barclays saying recently that “the notion of putting 7,000 people in a building may be a thing of the past."
Companies with remote workers would see significant cost benefits from continuing remote work, especially from saving money on commercial rent in expensive cities like New York, London, and San Francisco.
The economic implications of working from home on these major cities could be huge. About a third of New York’s revenue comes from real estate taxes. These taxes help keep the city clean and running smoothly.
Watch More of the Latest Videos from TheStreet and Jim Cramer
- Coronavirus Update: French Officials Call Sanofi Vaccine Prioritization 'Unacceptable'
- Jim Cramer: No Way That J.C. Penney Survives
- Jim Cramer: I'm Looking Out for the People Who Were Me Before I Made Money
- Jim Cramer: TikTok Is the Hottest Company on Earth
- Jim Cramer: Banks Could End Up With Really Bad Loan Book