Economic Insights
Canada | USA
From pandemic experiment to structural shift
By 2025, roughly 28 percent of all workdays are performed remotely—down from 35 percent in 2021 but well above the pre-COVID 5 percent. Hybrid arrangements dominate professional services, finance, and tech, reshaping regional labour markets and commercial real estate.
Table 1. Work-Location Patterns
| Category | 2019 | 2023 | 2025 |
|---|---|---|---|
| Fully Remote (%) | 5 | 29 | 28 |
| Hybrid (%) | 2 | 37 | 40 |
| On-Site (%) | 93 | 34 | 32 |
| Office Vacancy Rate (%) | 10.2 | 17.5 | 18.0 |
Sources: Stanford WFH Survey, CBRE.
Table 2. Metro Employment Growth (2019 = 100)
| Metro Area | 2020 | 2024 | 2025 |
|---|---|---|---|
| New York City | 91 | 96 | 97 |
| Austin | 105 | 117 | 119 |
| Miami | 102 | 112 | 113 |
| San Francisco | 95 | 97 | 98 |
Source: BLS Regional Employment.
Implications for urban economies
Secondary cities and Sunbelt regions benefit from remote-work migration, while legacy downtowns face commercial valuation drops and transit strain. The shift redistributes income and political power across states.
For business leaders
Hybrid work is now a strategic tool for retention and cost control. Optimize office footprints, expand digital onboarding, and tie location policy to talent strategy rather than tradition.