Spotify's HR chief defends remote work amid RTO debates

In December 2022, Spotify, a digital music streaming company based in Sweden, laid off 17% of its workforce, impacting approximately 1,500 employees. This decision was part of a broader strategy to cut costs and improve operational efficiency, which CEO Daniel Ek acknowledged had a more significant effect than anticipated. Despite the layoffs, Spotify has maintained its flexible 'work from anywhere' policy, which was introduced in February 2021, allowing employees to choose their work locations. This policy has reportedly contributed to lower attrition rates and improved diversity within the company. Katarina Berg, Spotify's Chief Human Resources Officer, emphasized the importance of treating employees as adults, stating that the company values flexibility and freedom in the workplace. However, she also recognized the challenges of remote work, particularly in fostering collaboration among teams. To encourage in-office attendance, Spotify has organized events such as 'listening lounge' sessions with popular artists and designated 'core weeks' for staff to reconnect and strategize. The layoffs have left remaining employees in a state of shock, as many had only experienced a period of rapid growth at the company. The transition to a more cost-conscious environment has been difficult for staff who are adjusting to the new reality. Despite these challenges, Spotify remains committed to its remote work policy, resisting pressure to mandate a return to the office. Overall, Spotify's approach reflects a balance between maintaining employee morale and adapting to the changing business landscape, as the company navigates the complexities of remote work and organizational restructuring.