Productivity dynamics of remote work during the COVID-19 pandemic

Abstract

This study documents the productivity dynamics of remote work during the COVID-19 pandemic in Japan. The mean productivity at home has improved by more than 10 percentage points in the past year, although it is still approximately 20% lower than when working in the office. Selection effects and learning effects contributed almost equally to the productivity growth. Even after adjusting for additional working hours from reduced commuting, the conclusion of relatively low productivity at home remains unchanged. The percentage of employees who want to continue frequent remote work after the pandemic has increased substantially, despite its lower productivity.