Dell sends "ultimatum" to employees: Working remotely will not get you promoted

According to a senior employee at Dell who has worked there for more than 10 years, Dell cares about the work, not the location. “I would say 10% to 15% of every team works remotely,” This person revealed.

That flexibility helps Dell employees maintain their careers in the face of major life changes, some told the tech news site.BI. It has also helped Dell rank as a “best place to work for disability equality” since 2018.

Still, Dell introduced a strict return-to-office policy in February, telling employees that starting in May, almost all would be classified as “hybrid” or “remote.” Hybrid workers were required to come to an “approved” office at least 39 days a quarter — roughly three days a week, internal documents show.

If they want to continue staying at home, they can choose to work completely remotely but must accept that they will not be considered for promotions or job changes.

“For remote team members, it is important to understand the trade-offs: Career advancement, including applying for a new role within the company, will need to be reclassified as an on-site hybrid,” Dell’s internal memo states.

Another senior Dell official said the entire company had complained about this but privately. In a statement toBI, Dell asserts that “direct connectivity combined with a flexible approach is critical to driving innovation and value differentiation.”

This approach differs from founder and CEO Michael Dell's previous support for remote workers. In 2021, he toldCRNthat the company's expanded work-from-home culture would persist. The billionaire later criticized companies that were requiring employees to return to the office, writing on LinkedIn: "If you rely on forcing long hours in a traditional office to create collaboration and a sense of belonging in your organization, you're doing it wrong."

By 2022, Dell remains unmoved: "Dell Technologies' long-term ambition is for 60% of our workforce to work remotely on any given day."

However, in March 2023, Dell began changing its policy, requiring all employees who live within an hour of the office to come in at least three days a week,CRNreport

Professor Cary Cooper, a psychologist and co-founder of the National Forum for Workplace Health and Wellbeing, said Dell's move could be a "panic response to a sluggish global economy". "Senior executives somehow think that people in the office are more productive than at home, even though there is no evidence to support that," he continued.

There's also a "herd mentality" going on, where tech companies try to follow what everyone else is doing, rather than sticking with what works for them.

Dell employees say they are at risk of losing promotions if the company makes layoffs, while having to go to the office several days a week is also affecting many of them.

BIviewed a promotion offer sent to a remote Dell employee that stated that in order to be promoted, they would not only have to start coming into the office, but also move closer to an “approved” location. Dell’s list of “approved” locations includes 17 offices in the US and 26 globally.

Typically, teams at Dell live across the U.S. and even other countries, according to a senior source at Dell who has access to employee data. “Every team has people in at least two states, some in three or four. I can’t think of a team where everyone lives in the same place,” this person said.

That means that even if commuting distance is feasible, many people won't be able to collaborate directly with their teams in the same office.

Senior source ofBIat Dell used their access to get data on the composition of remote teams. "I work with multiple teams across the company. Every team I work with has at least one person, if not two or three, affected by this policy," Source said.

Some employees believe the new measures are a way to push out a segment of staff — a phenomenon known as “silent dismissal.”

"This level of micromanagement makes me want to leave Dell," one person said, adding that since the announcement was made, dozens of employees have discussed leaving in Discord chats.

Two other employees, including one based in Germany, also said many are now considering leaving Dell.

In February 2023, Dell laid off about 5% of its workforce, or about 6,600 jobs, due to weak PC sales, according to an SEC filing.

According to a senior Dell employee, layoffs are necessary. If employees choose to leave, the company will not have to pay severance. Professor Cooper agrees that the level of control in this policy will lead to some resignations. They feel they have no autonomy over their work.

Dell’s move is one of the most abrupt changes to the widespread remote work policy adopted during the Covid-19 pandemic, and its development will add to the debate about the future of work and whether workplace culture is healthy.