Pay cuts and a lesser need for pricey office space offer companies ways to save money. But a migration of workers from downtown headquarters also pose challenges for bosses who worry that remote work over the long term could stifle innovation or hamper productivity. It will also be financially challenging for coastal hubs that have long attracted large companies and their highly paid employees.
San Francisco-based Stripe, which employs around 2,800 people, has for years relied on remote work. Last year it formed a remote engineering hub in addition to its hubs in the Bay area, Seattle, Dublin and Singapore, and vowed to hire 100 new fully remote engineers and other staff. Doing so has brought its workers closer to customers and businesses, and tailor products to fit local needs and limitations, Jay Shirley, who is the site lead for Stripe’s remote engineering hub, wrote in a May blog post.