The boss of a $3 billion software company slams RTO mandates, saying they rob workers of the sense of being adults

• Sarah Franklin, CEO of HR software platform Lattice, is letting workers stay fully flexible.
• "The data is pretty clear that mandates don't increase productivity," Franklin told Fortune.

While some Big Tech giants are dragging workers back to the office, Sarah Franklin, the CEO of HR software platform Lattice, is letting her employees stay fully flexible.

Lattice provides software for companies to track and reward employee performance amid the changing landscape of remote work — and its CEO is practicing what it preaches.

"The data is pretty clear that mandates don't increase productivity," Franklin told Fortune, "the focus for us at Lattice is carrot, not stick."

She continued: "We've seen firsthand data showing a dramatic dip, across the board, with regard to employee engagement. I deeply believe that many of the stick tactics of these mandates strip people of their sense of being an adult, at a job, wanting to do the work."

Franklin became CEO of the company after cofounder Jack Altman — the brother of OpenAI CEO Sam Altman — stepped down at the end of 2023. The company raised $175 million in 2022 and was valued at $3 billion.

Prior to joining Lattice, Franklin spent 15 years at Salesforce, serving as President and CMO, where she worked directly under CEO Marc Benioff.

Benioff is a fan of remote work when it comes to his own working life: "I'm a remote worker. I've always been a remote worker my whole life, " he previously told MSNBC.

He added, "I don't work well in an office. It just doesn't work with my personality."

But his stance has flip-flopped when it comes to Salesforce employees.

Leaked company messages last year showed that non-remote employees were expected to be in the office three days a week, and those in customer-facing roles had to come four days a week.

Franklin has been more steadfast in her encouragement of hybrid work. She told Fortune that she believes that hybrid workplaces are the future.

And she's not the only one bucking the strict RTO trend.

The CEO of tech giant Globant, Martin Migoya, is letting his 30,000 employees stay fully remote. The company is opting for a carrot-over-stick approach, too, enticing workers back with office upgrades that include more lounge areas and private rooms for remote calls.

CEOs can't seem to agree on whether remote work disrupts productivity.

Many companies have cited productivity concerns as the reason for bringing in strict RTO measures. However, some research has shown that RTO mandates don't necessarily encourage more productivity, and the companies that adopt these policies aren't necessarily more profitable.