In the contemporary world, remote work has become an increasingly normalized element of employment. However, many organizations are now reversing this trend by imposing restrictions on flexible work arrangements. This study investigates how such restrictions negatively impact employee satisfaction and retention in a Swedish context, in which flexibility and autonomy is often considered a baseline expectation. While previously conducted research explores the general effects of remote work, dimensions such as motivation and productivity in a Swedish context remain relatively unexplored. In order to investigate this, a qualitative research approach was employed. Furthermore, a multiple case study design was adopted, facilitating the exploration of two Swedish organizations operating in the industrial and engineering sectors. This was conducted through semi-structured interviews, with six correspondents holding diverse roles, providing the thesis with data which was thematically analyzed.

The findings highlight that restrictions on remote work policies can negatively impact work-life balance, productivity, and motivation while simultaneously increasing the risk of employee turnover. Moreover, flexibility has been concluded to be a critical factor, particularly among younger employees and those with family responsibilities. Lastly, the study determines that organizations risk decreasing employee engagement and long-term retention when constraining remote work options, especially when neglecting the individual preferences and expectations of their specific workforce.