Lloyds Banking Group (LYG, Financial) plans to factor in senior bankers' compliance with the return-to-office (RTO) policy when determining bonuses this year. This measure will apply to a limited number of senior employees, while approximately 80% of the staff will not have their office attendance considered in bonus evaluations.
As one of the largest financial service providers in the UK, Lloyds employs over 66,000 people. Following the pandemic, the company adopted flexible work arrangements, allowing employees to work on a hybrid schedule, with an expectation of at least two days per week in the office.
In a statement, Lloyds emphasized its commitment to providing industry-leading flexible working arrangements, which offer numerous benefits to employees while supporting the bank's strategic goals and business transformation.
Flexible work policies continue to spark debate on Wall Street. Earlier, JPMorgan Chase mandated a full five-day office return, ending hybrid work options for thousands. Meanwhile, Citigroup requires many employees to be in the office three days a week. However, implementing a full return has proven challenging, with JPMorgan acknowledging that some locations lack the capacity to accommodate all employees simultaneously.
Last year, Lloyds began relocating thousands of employees to a refurbished building in the City of London. Since 2022, the bank has been reducing its office space, aiming for a 30% reduction in its office footprint.
