The Work-from-home Wage Premium
https://www.frbsf.org/wp-content/uploads/wp2026-02.pdf "… find that workers who work from home earn higher hourly wages than those who do not.
… premium is driven by selection on unobservable worker characteristics (which could include ability, negotiation skills or bargaining power). Indeed, WFH was more prevalent for workers who already had high hourly wages before the pandemic, and was not associated with higher post-pandemic wage growth.
… in a world with more widespread
#WFH, differences in hourly
#wages may significantly understate
#inequality, as the best-paid workers are also more likely to receive the WFH amenity.
… changes in WFH policies (e.g., through widely debated RTO mandates) could have important implications for the allocation of talent and for aggregate productivity: firms offering WFH disproportionately attract more educated and experienced workers
… stringent
#RTO mandates may induce the most productive employees to leave firms that do not offer WFH."
#LaborMarkets