Brett McAllen: WFH Policy Could Boost Flexible Workspaces

Victoria’s proposed expansion of work-from-home rights could accelerate demand for flexible workspaces as businesses reconsider traditional office leases, according to workplace expert Brett McAllen.

The CEO of @WORKSPACES said the proposed policy shift could further reshape Australia’s commercial property market. He expects it to place additional pressure on office landlords while increasing demand for flexible and hybrid workplace models.

“The reality is that if employees gain greater rights to work remotely, many businesses will start asking a very simple question,” McAllen said.

“Why are we paying for office space that sits empty three or four days a week?”

McAllen said the answer increasingly points towards flexible workspace solutions.

“We are already seeing a sharp rise in enquiries from businesses wanting to explore flexible office space and relinquish their traditional long term leasing arrangements. Any policy that further supports work-from-home arrangements is likely to accelerate that trend,” McAllen said.

Flexible Workspaces Could Add Pressure To Commercial Property

McAllen said commercial office markets are still adapting to changes in workplace behaviour that followed the pandemic.

“Many CBD office buildings continue to experience elevated vacancy levels compared to pre-pandemic conditions,” he said.

“Now we have another major structural change potentially being introduced which could further reduce demand for traditional long-term office space.”

Businesses are also becoming increasingly reluctant to commit to large office leases while workforce attendance patterns continue to evolve, according to McAllen.

“The traditional model of signing a five or 10-year lease for space you may not fully use no longer makes sense for many organisations.”

Flexible Workspaces Becoming The New Normal

According to McAllen, flexible workspaces increasingly fill the gap between remote work and traditional office environments.

“Businesses still need professional spaces for meetings, collaboration, culture, client engagement and team interaction,” he said.

“They simply don’t need those spaces five days a week anymore. Why pay for space if you are not using it at capacity. This is why the flexible model of cosharing spaces such as meeting rooms, kitchens, breakout areas and board rooms is so powerful.”

McAllen said flexible workspace providers are seeing growing demand from organisations that want greater agility.

“Companies want the ability to scale up, scale down and adapt quickly without being locked into long-term commitments.”

Flexible Workspaces Could Deliver More Than 30 Per Cent Savings

McAllen said cost is one of the strongest factors driving businesses towards flexible workspaces.

“On average, businesses can reduce their occupancy costs by more than 30 per cent through flexible workspace arrangements,” he said.

“In many cases the savings are even greater when you consider fit-out costs, utilities, cleaning, maintenance, reception services, meeting rooms and office management.”

He said those financial benefits can become particularly attractive during periods of economic uncertainty.

“Every business is looking for ways to improve efficiency without compromising productivity.”

Businesses Are Following The Workforce

McAllen said employee expectations increasingly influence workplace strategy.

“Today’s workforce wants flexibility and businesses that ignore that reality risk losing talent,” McAllen said.

Rather than requiring staff to return to CBD offices full-time, many organisations are adopting hybrid models that provide workers with greater choice.

“Flexible workspaces allow businesses to support remote work while still maintaining physical locations for collaboration and culture.”

Suburban Flexible Workspaces Could Become Work Hubs

McAllen believes the next major workplace trend could involve growth in suburban and decentralised work locations.

“Many employees don’t want to commute into the city every day, but they also don’t necessarily want to work from home every day,” he said.

“Flexible workspaces located closer to where people live are becoming an attractive middle ground.”

McAllen said the trend is changing how businesses approach workplace strategy.

“The office is no longer a single destination. It is becoming a network of locations that employees can access when and where they need them.”

Flexible Workspaces Reflect A Longer-Term Shift

McAllen believes the debate surrounding work-from-home rights reflects a broader transformation in how organisations and employees approach the workplace.

“This is no longer about pandemic behaviour,” he said.

“This is about how people want to work and how businesses can operate more efficiently.”

He said organisations that embrace flexibility could be better positioned to adapt as workplace expectations continue to change.

“The workplace of tomorrow will be more flexible, more distributed and far more focused on outcomes than physical attendance,” McAllen said.

For commercial property owners, however, McAllen said the implications could be significant.

“If more employees gain the right to work from home, traditional office landlords will face increasing pressure to rethink how their buildings are used and how they attract tenants,” he said.

“The future of work is flexibility. Businesses know it, employees know it, and increasingly the policy environment is moving in that direction as well.”

Victoria’s Proposed Work-From-Home Changes

The Victorian Government introduced the Equal Opportunity Amendment (Work from Home) Bill 2026 in June. The proposal would create a statutory right for eligible Victorian employees to work from home for two days a week when it is reasonable to do so.

The Victorian Legislative Assembly has passed the legislation. However, it has not yet completed Parliament. The Legislative Council referred the Bill to a select committee in September, with further consideration deferred until the committee reports.

The proposed framework also includes circumstances in which employers could determine that working from home is not reasonable. These include significant effects on productivity, supervision, customer service, confidentiality or data protection, and high financial costs.

About @WORKSPACES

@WORKSPACES is a premium, Australian-owned flexible workspace provider delivering enterprise-grade, on-demand office solutions across Australia. With locations in Melbourne, Brisbane and the Gold Coast, the company offers serviced offices, coworking environments, virtual office solutions and meeting facilities designed to support modern businesses.

Led by CEO Brett McAllen, @WORKSPACES is focused on delivering high-quality, flexible and scalable workspace solutions that enable organisations to operate efficiently and competitively in a rapidly evolving business landscape. For more information, visit: www.atworkspaces.com.au