Office attendance rises at Europe’s largest companies

Companies are successfully encouraging more of their staff back into the office, with larger occupiers having the greatest wins. The proportion of companies across Europe reporting average building utilisation of 41-80% has risen to 61% from 48% last year, according to CBRE’s 2024 European Office Occupier Survey. Conversely, the proportion of companies reporting lower utilisation has fallen, with only a third of companies reporting utilisation of 40% or below, compared with nearly half of the companies surveyed last year. More than three-quarters of companies now have attendance policies for their staff. Almost two-thirds of companies with 5,000 or more employees reported average utilisation of 41% or higher. Smaller companies, although operating at lower overall levels of utilisation, reported higher-frequency attendance, as companies with fewer than 5,000 workers saw an 18% increase in four-to-five-day attendance.  Those with fewer than 1,000 employees experienced an even more pronounced rise, with 31% achieving four-to-five-day attendance. Despite these increases, the research found more than half of companies plan to reduce their portfolio size as larger companies seek to reduce costs and offload surplus space. Richard Holberton, head of European office research at CBRE, said: “Offices are returning to vibrancy and, while many see the current levels of utilisation as stable, 30% of companies expect further increases. The general acceptance of hybrid working is widespread, but the challenge remains of matching employers’ expectations with those of their employees over the long term.” Those planning to reduce their footprint plan to take advantage of lease expiries. However, 58% said they are likely to renew leases that are fit for purpose as landlords become increasingly flexible and willing to negotiate. Anna Esteban, CBRE’s head of advisory and transaction services for Europe, said: “Landlords have seen occupiers demanding, and expecting, better-quality offices in recent years, and if solutions can be achieved ahead of lease events, existing space can be just as desirable and efficient as a newly developed office.” Photo © WestEnd61/REX/Shutterstock