As costs rise, more Mass. employers are hiring remote workers
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More than 85 percent of the respondents
now report having at least some staff
'There's a growing comfort level with hiring some portion of your workforce out-of-state,' said Roundtable president JD Chesloff. 'The cost of living has become a cost of doing business.'
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The culprits, per the survey,
Office vacancy rates in Boston are stuck at multi-decade highs.
David L. Ryan/Globe Staff
'COVID gave us a license to be hybrid,' said Lisa Murray, president of Citizens Bank's Massachusetts operations and chair of the Roundtable's board of directors. 'I would argue that the quality of an interaction is lessened when it's over Zoom versus being in person [but] it does allow for this dynamic of saying you can live in Arizona and work for a Boston-based company if your job allows for that. That exacerbated an issue we already had.'
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The 'issue' Murray is referring to is
'We've spent a lot of time talking about not only the pluses we have in Massachusetts, and there are many, but what are the headwinds?' Murray said. 'What are the things we need to jump on to make sure we stay as competitive as we are?
While recognizing the headwinds, most of the respondents also said they're interested in partnering with other organizations or state officials to tackle issues such as AI adoption and workforce development.
Broader federal concerns are also at play. Around
More than half said they will make no change in local employment over the next 12 months, up from 30 percent a year ago. A quarter specifically said tariff uncertainty is prompting a pause in investments or hiring.
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Governor Maura Healey touched on a number of these issues in a speech at the New England Council on Wednesday, saying that creating great jobs, making it easier to do business in the state, and lowering costs for residents are among her administration's top priorities. Two Republicans who have announced they're vying for the party's nod to run against Healey next year for governor, Brian Shortsleeve and Mike Kennealy, are incorporating similar issues in their campaigns.
Jay Ash, chief executive of the Massachusetts Competitive Partnership, said he regularly hears concerns from his members about the high cost of living as well as the challenges with securing government permits to build here. Ash said he's alarmed by the fact Massachusetts is one of the few states that have not rebounded back to their pre-COVID levels of employment.
'We are better than anyone else at coming up with the next thing,' Ash said. 'We invent things here. But where it's eye-opening is when companies that come up with the next thing here have to open up a plant outside of Massachusetts.'
Jon Chesto can be reached at
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