06Jun

Working where you live has become, if not yet the norm, certainly a much more common practice since the COVID pandemic.

Yet even as that trend becomes rooted – PwC found employees far from eager to return to an office – a new one may be emerging. The company town, reincarnated in the form of mixed-use buildings, is beginning to gain traction.

These developments are barely a blip on the real estate radar. Yet a few ambitious developers are taking the risk that workers in the post-COVID world will not want to endure the daily commutes to a central workplace as they did before.

Brooks Howell, the global residential practice area principal with the San Francisco architecture firm Gensler, says a sort of living at work arrangement make sense.

“If I’m a company and I’m going to build a 400,000-square-foot office space with the typical office configuration — offices, conference rooms — now I’m realizing that if I build 200,000 or 300,000-square-feet of apartments to go with that, those units become work-from-home offices of sorts,” he told Digiday.

Subsidized housing and employer-owned rentals are hardly a new phenomenon. The practice harkens back to the days when mining companies built whole communities to attract and house the workers they needed. Though the abuses of avaricious owners made the company town nearly synonymous with feudalism, some version of employer-provided housing exists in places as different as oil fields in the Dakotas and high tech centers of the San Francisco Bay Area.

Now a more updated version is emerging. Gensler has been involved in a number of hybrid work and home constructions including one in Los Angeles and the 6 X Guadalupe project (pictured) now being built in Austin, TX.

“We’re not all going to be working from home for the rest of our lives, and the office is not going to die,” said Howell.

In these mixed use projects, Gensler has designed in some traditional office space, conference rooms and co-working spaces, as well as apartments with in-home offices. When workers need to collaborate in-person, it’s a short walk to the company office.

In another project in downtown Philadelphia, Franklin Tower has been converted into a mixed-use building. Apartments are on floors with windows. The windowless floors are used for co-working space, study pods and storage areas, gyms, yoga studios and community kitchens for corporate tenants.

Says Kevin Miller, CEO of the firm GR0, “If employees design their homes to be adjacent or combined with their offices, they can start to view their coworkers as friends and even family.

“The most successful, productive businesses always seem to have teams with close ties and deep connections with each other.”

Photo by Erin Doering on Unsplash

Why Is Hiring So Difficult?

With unemployment at a historic high, filling jobs shouldn’t be difficult. Yet employers say it’s hard to find qualified people to hire.

The National Federation of Independent Business says a third of its members report having jobs they couldn’t fill. In the organization’s June survey, 84% of business owners hiring or trying to hire workers reported finding “few or no qualified applicants.”

The Federation’s members are small business owners who, in good economic times, typically have more difficulty filling jobs than large organizations that offer better pay, benefits and opportunities for advancement. Yet, more owners have at least one unfilled job today than they did at the height of the Great Recession a decade ago.

What accounts for this difficulty?

Multiple factors, according to Gad Levanon, VP of labor markets for The Conference Board. Writing in Forbes recently, he says the largest share of workers expect to return to their job once their business reopens.

Many others who might otherwise be job-hunting aren’t because of a generous COVID-19 unemployment supplement. Some hesitate because they fear becoming infected. Still others have no childcare with schools and summer camps closed.

“In sum,” he writes, “While the number of unemployed workers is historically high, the number of unemployed people who are seriously trying to find jobs is much smaller. Jobseekers are competing against a much smaller number of people for new spots than the unemployment rate suggests, making it easier to get a job.”

Of the17.8 million Americans counted as unemployed, 10.6 million say they are only temporarily laid off and expect to be called back to work once their business reopens.

Many of the other 7 million-plus aren’t actively looking, at least until the special $600 unemployment supplement expires at the end of the month.

“Two-thirds of [unemployment insurance] eligible workers can receive benefits which exceed lost earnings and one-fifth can receive benefits at least double lost earnings,” the National Bureau of Economic Research estimated in an analysis released in May.

Levanon expects the job picture to change significantly in the coming months.

With COVID-19 cases surging, states are reconsidering decisions allowing businesses to reopen. For some workers, that will mean their temporary layoff will become permanent, he says. Others will be motivated to start looking once their unemployment benefits are reduced.

Says Levanon, “The unemployment rate overestimates the slack in the US labor market. But not for long.”

If you’re having trouble finding just the right person for your opening, give us a call at 212.683.1988. You’ll talk with a recruiter who specializes in your industry and knows where the best people are.

Photo by Clem Onojeghuo on Unsplash

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Do You Really Want to Be a Manager?

It’s flattering to be offered a management promotion. It shows the confidence your boss has in you, and the bump in your paycheck would certainly be welcome.

But before you say yes, take a deep breath and think about what it means. Not everyone wants to be a manager. Not everyone who is a manager should be one.

Being a manager comes with dramatically different responsibilities. Instead of being responsible only for yourself, as a manager you’re responsible for the work of a team. You’ll be dealing with different personalities and styles. You’ll face pressure from your boss to meet a whole range of new measures. Besides getting projects done on deadline, there will be budget considerations and quality standards. At the same time, you’ll hear from your reports about being pushed too hard or not getting the resources they insist they need.

You’ll be expected to coach your team, supporting them and giving them the feedback they need and want. At times, that means delivering feedback about poor performance. As a CNN Business article points out, you have to sometimes be willing to be seen as the guy delivering bad news.

Says Leigh Steere, co-founder of research group Managing People Better, “The No. 1 task that managers shy away from is confronting poor performance.

“They may be conflict avoidant. Some say ‘I’m not comfortable judging others.’ Or they want to be viewed as a nice manager. [But] it is not nice to withhold feedback from somebody that they need to learn and grow.”

The skills it takes to be a great manager are far different from those of being a great worker. Too often companies promote great workers because they perform at the top of the curve, only to discover that as a manager their performance is lacking at which point their rise in the organization halts — or worse.

While management training can make a difference, too often this training is limited to legal issues and administrative procedures. Even when the training includes coaching and feedback and similar matters, it takes constant reinforcement and personal commitment to be effective.

So when the opportunity comes along, think it through. Ask managers you respect for advice. Discuss with your boss the changes you’ll need to make. Then ask yourself, are you willing to give up what you do in order to manage others? Is that you?

Photo by Austin Distel on Unsplash

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