The implications of this shift to remote work are significant. Employees may migrate from high-cost areas like San Francisco, New York, Los Angeles and Seattle, to lower cost regions.
“This is why the Facebook and Twitter announcements are such a big deal,” Muro said. “These companies’ moves to permanent remote work is not just a signal that work within cities may soon be reorganized. The announcements could also forecast a degree of tech decentralization across the continent that no amount of real estate appreciation, pleas from heartland leaders, and promises to open branch offices have been able to achieve.”
Muro [Mark Muro of the Brookings Institution] remains skeptical that some great tech diaspora is coming. The idea of companies decamping for lower-cost pastures, often with the potential for big incentives, is nothing new. Despite a decade of encouragement from tech boosters like AOL founder Steve Case, venture capital “safaris” through the Midwest and large-scale local investment in economic development, Muro found in a report earlier this year that 90% of U.S. tech jobs in the past 15 years were added in five cities: Seattle, Boston, San Francisco, San Diego and San Jose.
Muro acknowledges, though, that the shift to remote work is a new and unpredictable factor. “I think we shouldn’t discount that we don’t know where things are heading,” he said. “There clearly could be a degree of movement outward of some more mobile parts of the economy. I don’t think it will be so strong that the big cities are cast into economic drift, but we may well see more people trying to move into the heartland.”
The Irvine, Calif.-based company would not confirm the total number of people laid off, but did confirm that there were cuts at the company as a result of broader business changes.
The news emerged days after the fintech company closed its Portland office earlier this week, one of four offices the company maintained. While Acorns offered Portland employees an opportunity to relocate to its Irvine headquarters, some roles were terminated as part of the relocation, the company said.
Meantime, new recommendations from the Centers for Disease Control and Prevention on safe ways for employers to reopen their offices say, among a number of measures: Workers should commute alone (no subways); desks should be positioned 6 feet apart; communal coffee pots and snack machines should be replaced with single-serve options; and windows should be opened to try to help regulate air flow.The CDC is also recommending elevator use be limited.
I think none have been built in the last 30 years, and there are no plans to build any. Most of the increased gas tax, increased registration and bridge toll tax goes towards road maintenance(although the Bay Area roads are as bad as before IMO) and towards public transport.
What I meant was “I agree, but the people in power have other plans & public projects have long gestation and execution times especially measured in ‘CA govt time’ and right now there are zero plans for new freeways from the govt, so none will be built in our working lives”.
Didn’t you know coronavirus is gone now? All this rioting with lack of social distancing won’t spread it at all. The same media condemning non-violent protestors of SIP as recklessly spreading coronavirus are silent about violent riots spreading it.
It appears the cop was completely wrong and guilty of murder. I still don’t get how looting TVs helps anyone’s cause.
What was once a land grab for downtown real estate could pivot to be rush to the suburbs, where space is plentiful and social distancing is much easier to enforce.
Good news All my rentals are in suburbs
“There will probably be more satellite offices, where people don’t have to be downtown. There will be more part-time working from home.”