Remote Work: Is Elon Musk Making a Mistake?

Elon Musk is banning remote work. In a letter to employees, Twitter's new owner decreed that "employees must be in the office for a minimum of 40 hours per week." As Profesor Nick Bloom rightfully pointed out, under normal conditions, Musk's new policy would likely have a negative impact on morale, productivity, and recruitment. But these aren't normal times. Twitter is at war. It is undergoing a rapid pivot on multiple fronts — changing its product, business model, and ownership structure. The company is trying to shed employees, reset its corporate culture, and eliminate anyone who isn't on board with the new direction. And perhaps most importantly: Twitter has "pent-up productivity." The company has been incredibly unproductive over the past few years — judging by the pace of product improvements and overall revenue per employee. Twitter might fail anyway, but if it is to succeed — a jolt to the system could be just what the doctor ordered. And even if it isn't, unlocking the company's pent-up productivity (regardless of where people work) might offset the negative cost of forbidding remote work. At least for a while. What do you think? Let me know on Twitter. Subscribe to this podcast to receive all future pieces directly to your phone. And subscribe on DrorPoleg.com for my newsletter.