Remote workers miss out on raises in 2024: LinkedIn survey

CALIFORNIA, UNITED STATES — Working from home or remote offices in 2024 experienced a noticeable discrepancy in pay increases compared to their in-office counterparts, a recent LinkedIn survey revealed. 

The survey included 8,606 professional workers in the United States and was conducted from September 21 to November 15, 2024.

Compensation disparities

The survey found that 59% of in-office employees received pay raises, versus just 56% of remote workers. Hybrid workers, who split their time between an office and remote work, saw higher rates of increases with 64% receiving raises.

Rachel Cromidas, a news editor at LinkedIn, explained, “The findings suggest hybrid work could be the preferred model for both employers who want workers in offices and employees who want to maintain some flexibility without sacrificing compensation in the wake of the pandemic.”

Shifting leadership perspectives on remote work 

The data release coincides with a broader shift in executive attitudes toward remote employment. Reports from earlier in the year indicated that 82% of Fortune 500 companies offered some form of remote work. However, the trend is leaning more towards mandating returns to the office, driven by beliefs that physical presence boosts communication, morale, and output.

The survey didn’t explicitly state why remote workers were less likely to receive raises, but some executives have suggested that it could be due to perceived lower job-related costs, such as commuting and childcare for remote employees.

Prominent companies in the media and entertainment sectors, including giants like Apple, Amazon, Walt Disney Company, and X (formerly Twitter), have increasingly requested employees to return to the office, at least partially, throughout the year.

Moreover, a KPMG survey in September showed a jump in CEOs’ expectations for full-time office returns over the next 36 months, from less than 40% in April to nearly 80%. Despite this push, about 50% of CEOs still foresee a blend of in-office and remote working as the future norm, a considerable increase from just under 20% who believed so five months prior.

This evolving landscape suggests a complex negotiation between employer needs for office presence and employee desires for flexibility, with compensation practices clearly tilting in favor of those who spend more time within office walls.