Blog| Employee Experience

Paying Bonuses to Return to the Office? Here’s Why It Won’t Work

Rebecca Moulynox
  • Rebecca Moulynox

    REBECCA MOULYNOX

    Author

Author

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Imagine this – You’ve built a work routine that actually works for you—no more wasted hours in traffic, no more distractions from an open-plan office where focus is a luxury. You’ve got flexibility and a better work-life balance, and as a result, you’re more productive than ever. Now, your company is dangling a carrot in front of you: come back to the office more often, and you’ll get a bonus.

Sounds tempting, right? Except—it misses the point entirely.

The Push to Bring Employees Back

Across Australia, companies are increasingly tying financial incentives to office attendance, using performance reviews, career progression, and even bonuses to drive employees back into the workplace. This shift reflects a growing belief among executives that in-person work strengthens collaboration, sustains company culture, and enhances productivity. But does it really? Or is it just an outdated way of measuring employee value?

Suncorp Group, for example, has integrated office attendance into its performance scorecards, which influence annual bonus determinations. While employees are not explicitly mandated to be in the office, failing to meet agreed-upon attendance expectations could negatively impact their bonuses. Similarly, Origin Energy requires office-based employees to spend at least 40% of their working time onsite, linking this directly to their annual performance reviews and, ultimately, their eligibility for bonuses.

ANZ Bank has taken it a step further, setting a clear target for staff to work in the office at least 50% of the time. Those who fall short may see their performance ratings suffer—directly affecting their annual bonuses. Commonwealth Bank of Australia (CBA) has implemented a similar policy, requiring employees to be onsite at least half the time each month. Attendance is actively monitored, and failure to comply could result in a reduction in bonuses and lower performance rankings.

The message from these companies is clear: show up, or risk losing out financially. But this approach ignores a fundamental shift in how employees view work. Forcing attendance through financial penalties doesn’t necessarily foster engagement—it fosters resentment. And when employees feel like their value is measured not by results but by physical presence, many will simply choose to take their skills elsewhere.

The Real Consequences: Retention Risks and Legal Trouble

The problem with these policies is that they don’t account for why people want remote or hybrid work in the first place. Studies show that when companies impose strict return-to-office mandates, they see increased employee turnover—especially among top performers who value flexibility.

And there’s another layer: legal risk. By making office attendance a factor in bonuses or promotions, companies could find themselves in a grey area of potential discrimination claims. If these policies disproportionately impact caregivers, people with disabilities, or those who simply live further from the office, they could become a legal minefield.

 

What Employees Actually Want

The most successful companies aren’t the ones forcing employees back—they’re the ones giving employees a say in how they work best. Research from Great Place To Work® has found that employees who have autonomy in choosing their work environment report higher levels of engagement, productivity, and trust in leadership.

Instead of tying bonuses to physical presence, organisations should be asking:

  • Are employees delivering results?
  • Are they engaged and satisfied in their roles?
  • Do they feel valued and supported by leadership?

If employees are meeting (or exceeding) performance expectations while working remotely, why disrupt that?

A Better Approach: The “Magnet, Not Mandate” Strategy

Rather than coercing employees with financial incentives, forward-thinking companies are making the office a place employees want to go—not have to go. Cisco, for instance, has adopted a “magnet, not mandate” approach, investing in office experiences like town halls, team gatherings, and career development sessions to naturally encourage in-person interaction.

Companies that truly want to maintain culture and collaboration should focus on what makes in-person work meaningful—rather than making it a requirement with a price tag attached.

Rethinking What Success Looks Like

If a company needs to pay its employees extra just to show up, that says something about the office experience itself. Work isn’t about where you do it—it’s about the impact you have. The best organisations understand that. Instead of controlling where employees work, they trust them to deliver results in the way that works best for them.

So, if businesses are serious about retaining top talent, maybe they should rethink why employees are resisting the return to the office. Because the answer isn’t in a bonus—it’s in listening to what employees really want.

  • Rebecca Moulynox

    REBECCA MOULYNOX

    Rebecca is the General Manager for Great Place To Work® Australia and New Zealand. A seasoned leader in People and Culture, she brings deep expertise in organisational design, HR consulting, and transformation strategy to help companies build thriving, high-trust workplace cultures. With a Master of Business in Human Resource Management, Rebecca partners with executives and teams to unlock the full potential of their people and align culture with business outcomes. Her approach is both data-driven and human-centred, helping organisations make sense of what their people need most, and supporting them through practical, results-oriented coaching. Rebecca’s work is shaped by her passion for creating workplaces where people can do their best work and lead fulfilling lives.

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