Tech CEOs say they plan to scale back on real estate for offices now that they know everyone can work from home, and it's not good news for WeWork
And if you work for a tech company or live in a major metropolitan area, chances are you've been working from home for a month.
"If everyone can really work at home, why do we have all these big offices around the world?" says Rimini Street CEO Seth Ravin, a software technical support company based in Las Vegas that operates 30 offices worldwide. Okta CEO Todd McKinnon agrees. His company grew from 1,561 employees at the start of 2019 to 2,248 employees at the start of 2020, most of them at its 207,000 square-foot San Francisco headquarters but also scattered among offices in 12 other countries.
"Our growth plans were to add a bunch more square footage, but I think we're seeing with the productivity we're having, we probably don't need as much square footage," he said. Now his real estate team is talking about turning the office "into more flexible work environments, not dedicated desks, and moving to a more dynamic, flexible work space."
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