News Summary
A recent audit suggests that California could save up to $225 million annually by allowing state employees to work remotely three days a week. This recommendation contrasts with Governor Newsom’s directive for a four-day return to the office. The audit highlights a lack of information on office space needs and operational costs, raising questions about potential inefficiencies. Employee unions support remote work benefits, advocating for flexible policies to enhance recruitment and retention. As the state deliberates, these findings may influence future workplace policies amidst ongoing discussions about remote work and in-person attendance.
California could potentially save up to $225 million annually by allowing state employees to continue working remotely instead of enforcing a return-to-office policy, according to a newly released audit. The audit, which was requested by Assemblymember Josh Hoover, comes amid ongoing discussions about the balance between remote work and in-person attendance for state employees.
The audit findings suggest that if state employees were permitted to work remotely for three days a week, the state could significantly lower its expenses related to real estate costs. This recommendation stands in stark contrast to Governor Gavin Newsom’s recent directive, which requires state employees to return to the office four days a week.
Critically, the audit indicated that Governor Newsom’s administration failed to collect vital information regarding the state’s office space needs and associated costs before implementing the return-to-office order. The potential consequences of this oversight could result in the necessity for additional office space, increasing operational expenses for the state. For instance, the Department of Health Care Services reported needing an additional 541 workspaces, while the Department of Resources, Recycling, and Recovery identified a requirement for 123 additional workstations.
Opposing the audit’s conclusions, Newsom’s office described the report as non-scientific and incomplete, arguing that the proposed savings were based on assumptions that were unlikely to materialize. Furthermore, the audit encouraged the state legislature to develop guidelines for determining which roles should have the option for remote work versus those requiring in-person attendance.
Background context highlights that the remote work policy was first instituted in response to the COVID-19 pandemic, which raised concerns about capacity in office settings and commuting issues. Employee unions, such as SEIU Local 1000, have voiced their opposition to the four-day return-to-office mandate, emphasizing the benefits of remote work, which include cost savings, decreased traffic congestion, and overall improvement in recruitment and retention of state employees.
The implementation of Governor Newsom’s four-day office requirement is currently delayed until July 2026, leaving room for further evaluation of remote work’s effectiveness. Notably, the audit underscored that numerous state departments had not utilized a combined total of 3.2 million square feet of available office space, resulting in an estimated cost of $117 million to state agencies.
The report also drew attention to a potential “one-size-fits-all” approach to office space management, which may inhibit opportunities for notable cost savings across various departments. The findings resonate with sentiments expressed by state workers who have experienced tangible benefits from flexible telework arrangements, suggesting a growing consensus on the importance of adapting work policies to meet the diverse needs of state employees.
As California continues to navigate the complexities of balancing remote work and office attendance, the implications of this audit may significantly influence future workplace policies for state employees. It remains to be seen how state lawmakers and administrators will respond to these findings and whether adjustments to the current remote work framework will be implemented.
Deeper Dive: News & Info About This Topic
- San Francisco Chronicle: Newsom and Remote Work
- Wikipedia: Remote Work
- MSN: Newsom Disputes Auditor’s Report
- Google Search: California remote work savings
- Press Democrat: California State Workers and Telework
- Google Scholar: California state employees remote work
- Sacramento Bee: The State Worker
- Encyclopedia Britannica: Remote Work
- AP News: State Employees and Remote Work
- Google News: California remote work

Author: Anaheim Staff Writer
Anaheim Staff Writer The Anaheim Staff Writer represents the experienced team at HEREAnaheim.com, your go-to source for actionable local news and information in Anaheim, Orange County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as major conventions at the Anaheim Convention Center, including NAMM and VidCon, exciting games at Angel Stadium and Honda Center, and developments at Disneyland Resort Our coverage extends to key organizations like the Anaheim Chamber of Commerce and Visit Anaheim, plus leading businesses in hospitality, entertainment, and innovation that power the local economy As part of the broader HERE network, including HERECostaMesa.com, HEREHuntingtonBeach.com, HERESantaAna.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.