Work After The Pandemic

The pandemic has changed the way many of us work. Paul Krugman writes:

A year of isolation has, in effect, provided remote work with a classic case of infant industry protection, a concept usually associated with international trade policy that was first systematically laid out by none other than Alexander Hamilton.

Hamilton asserted that there were many industries that could flourish in the young United States but couldn’t get off the ground in the face of imports. Given a break from competition, for example through temporary tariffs, these industries could acquire enough experience and technological sophistication to become competitive.

John A. Macdonald's National Policy was imported from Alexander Hamilton. Working from home is a little bit like Macdonald's National Policy:

The pandemic, by temporarily making our former work habits impossible, has clearly made us much better at exploiting the possibilities of remote work, and some of what we used to do — long commutes so we can sit in cubicles, constant flying to meetings of dubious value — won’t be coming back.

For many, it's a new way of doing things. But it won't completely revolutionize the world of work. Its effect will be something like what happened when e-readers were introduced:

A decade ago many observers believed that both physical books and the bookstores that sold them were on the verge of extinction. And some of what they predicted came to pass: e-readers took a significant share of the market, and major bookstore chains took a significant financial hit.

But e-books’ popularity plateaued around the middle of the last decade, never coming close to overtaking physical books. And while big chains have suffered, independent bookstores have actually been flourishing.

Why was the reading revolution so limited? The convenience of downloading e-books is obvious. But for many readers this convenience is offset by subtler factors. The experience of reading a physical book is different and, for many, more enjoyable than reading e-ink. And browsing a bookstore is also a different experience from purchasing online. But what I find in a bookstore, especially a well-curated independent store, are books I wasn’t looking for but end up treasuring.

The remote work revolution will probably play out similarly, but on a much vaster scale.

So what will work look like in the future?

The advantages of remote work — either from home or, possibly, in small offices located far from dense urban areas — are obvious. Both living and work spaces are much cheaper; commutes are short or nonexistent; you no longer need to deal with the expense and discomfort of formal business wear, at least from the waist down.

The advantages of going back to in-person work will, by contrast, be relatively subtle — the payoffs from face-to-face communication, the serendipity that can come from unscheduled interactions, the amenities of urban life.

So the best bet is that life and work in, say, 2023 will look a lot like life and work in 2019, but a bit less so. We may commute to the office less than we used to; there may well be a glut of urban office space. But most of us won’t be able to stay very far from the madding crowd.

We await the future.

Image: ricoh-europe.com