Smarter Retrofit Planning in the Hybrid Office Era

Photo: Desk-sharing models have tripled since 2021, while average space allocation has decreased from 292 to 205 square feet per employee. | Photo Credit (all): Fellowes

By Jason Jones

Rendering of an open office layout with natural light coming in large windows.
As retrofit regret is setting in, facility managers are contending with strained HVAC systems, higher energy costs and misalignment with building certification standards.

In the years since the COVID-19 pandemic, the way Americans work has permanently changed. Nearly 80% of businesses now offer hybrid or exclusively remote employment, leading many of these companies to downsize their office footprints. In fact, more office space has been removed from the U.S. market than added in 2025 — the first time this has happened since 2018.

These changing workplace demands have led businesses to rethink how their remaining space is used. Desk-sharing models have tripled since 2021, while average space allocation has decreased from 292 to 205 square feet per employee. At the same time, employers are tightening in-office expectations, with 85% of companies now communicating an attendance policy. With more people using less space, many companies retrofitted their offices for improved functionality. However, in the rush to adapt, few fully assessed the impact of increased density on factors like indoor air quality, energy performance and occupant comfort. Now, as data reveals the long-term impact, retrofit regret is setting in. Facility managers are contending with strained HVAC systems, higher energy costs and misalignment with building certification standards.

The good news is that, with targeted upgrades and smart planning, companies can transform regret into resilience, while advancing sustainability and wellness benchmarks.

How Retrofit Mistakes Created an Unsustainable Work Environment

The advantages of an office space retrofit include improved aesthetics, better functionality and — when done right — reduced operating costs. But in the push to reopen businesses post-pandemic, many office updates have fallen short of long-term performance goals while impacting employee productivity.

HVAC Limitations

Shortly after COVID-19 was declared a pandemic in 2020, ASHRAE released guidance aimed at reducing virus transmission. Recommendations included increasing natural ventilation, improving air exchange frequency, enhancing humidity control and upgrading filters. While these modifications supported occupant health, they also led to a 21.7% average increase in energy consumption in mixed-humid climate zones.

As pandemic-related protocols were scaled back and hybrid work patterns solidified, many facilities failed to revisit whether their existing HVAC systems could meet the needs of denser, reconfigured spaces. In many cases, systems were either too small to handle increased loads or were never recalibrated after the pandemic. The result? HVAC systems that struggle to keep up with heating and cooling demands, leading to inconsistent temperature and humidity control, higher energy bills and accelerated wear and tear.

Energy Consumption

As companies reimagine workplace layouts, individual offices have largely given way to open floor plans. While these designs support flexibility and collaboration, they also come with energy trade-offs. Without occupancy sensors or workspace task lighting, open layouts often require lighting entire zones, regardless of how many desks are in use.

Elevated occupancy levels increase energy consumption in multiple ways. A recent study found that energy use rises in direct proportion to occupancy — not only because more employees add plug loads, but because HVAC systems must work harder to heat, cool and filter the additional heat and CO2 they generate.

Indoor Air Quality Concerns

Rendering of an open office layout with natural light coming in large windows.
Targeted upgrades and smart planning, companies can transform regret into resilience, while advancing sustainability and wellness benchmarks.

Higher occupant density coupled with inefficient HVAC operation creates a perfect storm for poor indoor air quality. More people in less space leads to elevated CO2 levels. Add in subpar ventilation and the consequences can include reduced cognitive function, increased fatigue and lower productivity among employees. Employees are aware of these issues. According to Fellowes’ 2024 International Day of Clean Air survey, 89% of office workers believe it’s their employer’s responsibility to ensure clean air in the workplace.

Without modern air quality management (AQM) systems, elevated concentrations of particulate matter, volatile organic compounds (VOCs), allergens and even airborne viruses can persist. These pollutants can exacerbate asthma and allergy symptoms and contribute to higher rates of employee absenteeism, while causing symptoms related to Sick Building Syndrome, such as headaches, coughing, dizziness and eye, nose and throat irritation.

Workspace Design Gaps

Mechanical systems aren’t the only area where retrofits have fallen short. In many cases, the physical layout of the office fails to support employee comfort and productivity. As companies packed more employees into smaller footprints, ergonomic and acoustic considerations were often overlooked.

Open layouts may maximize headcount, but without designated privacy zones, sound-dampening features and adjustable furniture, employee productivity can suffer. Desk-sharing models that fail to accommodate individual ergonomic needs can create chronic discomfort.

Thermal discomfort, poor air quality and inflexible workspace design don’t just impact employee comfort and output, they also threaten alignment with green building certifications. Programs like WELL, Fitwel and LEED emphasize occupant health, ventilation effectiveness, acoustics and adaptable design. When retrofits overlook these elements, buildings can fall short of key performance metrics, compromising certification goals and long-term ESG commitments.

From Retrofit Regret to Resilient Design

While quick retrofit decisions were understandable during the early days of the pandemic, it’s now time for a more strategic approach. To future-proof workplaces and advance sustainability goals, companies can start by revisiting their building systems and design strategies:

  • Recalibrate HVAC systems. Ensure that systems are appropriately sized and adjusted to match updated occupancy patterns. Optimize ventilation rates and install the highest-efficiency filters the system can support.
  • Integrate modern air quality management. Today’s AQM systems connect directly with the building management system (BMS) and work in tandem with HVAC systems and zone-specific purifiers to automatically adjust based on real-time air quality conditions and occupancy levels. By installing these scalable systems, HVAC runtime is reduced, lowering emissions and reducing energy costs. Most importantly, these systems support a healthier, more comfortable environment for building occupants.
  • Prioritize comfort-focused design. Choose height-adjustable furniture with ergonomic features and built-in outlets. Use adaptable modular walls made with acoustics-friendly materials to enable layout changes as needs evolve, without the need for construction. Add monitor risers and space-efficient accessories to optimize the workspace.
  • Employ energy-saving tools. Install occupancy sensors to automatically turn off lights in unused spaces, use smart power strips that cut power to idle devices and upgrade to energy-efficient LED lighting. Whenever possible, maximize use of natural light to reduce reliance on artificial sources.

A Smarter Path Forward

The choices made in a retrofit can have a lasting impact, not just on energy usage and space design, but on the way people feel and perform at work. Revisiting past decisions with clear performance goals in mind doesn’t mean starting over. Rather, it means making targeted improvements that elevate sustainability, functionality and employee wellbeing. By focusing on high-impact areas most impactful to these goals, like thermal comfort, indoor air quality, workspace flexibility and energy efficiency, facility and business leaders can ensure their spaces are built not just for today’s demands but whatever comes next, as well.

Jason Jones is Director of Air Quality Management at Fellowes, where he leads the company’s sales and marketing efforts. He has conducted hundreds of hours of training for Fellowes’ distributors, sales representatives and end users, helping them better understand the role of smart, responsive air quality management in today’s commercial and institutional spaces.

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