• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Despite a $500 million net worth, Shaq just finished his fourth degree. He warns graduates: 'Your character will take you further than your resume'

2

Jeff Bezos wants the bottom half of earners to pay zero income tax—he says nurses making just $75K should save $12K a year

3

Bolt CEO says he let go of his entire HR team for creating problems that didn’t exist: ‘Those problems disappeared when I let them go’ 

1

Despite a $500 million net worth, Shaq just finished his fourth degree. He warns graduates: 'Your character will take you further than your resume'

2

Jeff Bezos wants the bottom half of earners to pay zero income tax—he says nurses making just $75K should save $12K a year

3

Bolt CEO says he let go of his entire HR team for creating problems that didn’t exist: ‘Those problems disappeared when I let them go’ 
Personal Financeremote work

Remote work is the reason why Wall Street was wrong about a recession

Alicia Adamczyk
By
Alicia Adamczyk
Alicia Adamczyk
Senior Writer
Down Arrow Button Icon
Alicia Adamczyk
By
Alicia Adamczyk
Alicia Adamczyk
Senior Writer
Down Arrow Button Icon
August 1, 2023, 7:30 AM ET
Businesswoman at home working on her computer
Remote work is helping fuel the economy.Morsa Images/Getty Images

Your boss may hate remote work, but it’s one of the reasons the U.S. economy is chugging along as strongly as it is.

Recommended Video

From Beyoncé and Taylor Swift concerts to wedding travel, remote work has made it easier for some workers to take long weekends throughout the summer without worrying about rushing home to make it to the 9 a.m. all-hands meeting on Monday. That’s boosting the country’s GDP, which rose by 2.4% in the second quarter, according to the U.S. Department of Commerce, primarily driven by consumer spending on services like vacations, concert tickets, and restaurants. (Business investment and state and local government spending also helped.)

Economists have predicted that spending would slow for a while now, forecasting a recession sometime this year. But that hasn’t happened yet. At least part of that can be attributed to the fact that many workers are no longer “constrained” to the office on Mondays and Fridays, Thomas LaSalvia, head of commercial real estate economics at Moody’s Analytics, told Axios. That flexibility makes it easier to take trips and spend money.

“I absolutely think it’s helping us stave off that recession that many of us thought we’d be in by now,” LaSalvia tells Fortune. “Consumer spending is well above what it was a year ago. I do think it’s because of this willingness to get out there and do things, and a big part of that comes from the fact that the costs associated with traveling, going to concerts, spending a few days with friends have diminished.”

Not just monetarily—LaSalvia notes the calculation for doing things is different now for many workers who don’t have to use a vacation day to take a more convenient flight.

“If I’m not in the office Friday and Monday, and I could maybe be in my pajamas and not make the commute, that’s a huge costs savings to me,” he says. “I can go to that concert, party all night, make my way back on Sunday, and work without taking the day off.”

Americans will spend to make up for lost time

With inflation as hot as it’s been and interest rates rising, some economists and investors have predicted a recession for more than a year. But so far, consumers have been resilient (it helps that personal income is also up).

Ted Rossman, senior analyst at Bankrate, previously told Fortune that many people are still hungry to make up for lost time to the COVID-19 pandemic. Though it’s been years since the strictest lockdown measures kept many people inside, there is still a backlog of delayed events like weddings and concerts that consumers are eager to attend. And though pandemic savings are depleting, some consumers still have an excess cushion of money to spend, according to the Federal Reserve. And inflation has slowed.

“There’s been a permanent structural change in leisure demand because of the flexibility that hybrid work allows,” Scott Kirby, CEO of United Airlines, said last fall. “This is not pent-up demand. It’s the new normal.”

And the TSwift lift—the boon to the local economy in cities where Swift performs her Eras Tour—is very real, says LaSalvia. Swift isn’t the only act in town, of course. Beyoncé, Ed Sheeran, and other major acts are also performing across the country, and people are happy to spend to see their favorite artists.

“We have to give credit where credit is due to some of those musicians,” he says.

Less office time means more hobby time

Spending less on commuting—and spending less time in the office—has also allowed consumers to put their time and money into hobbies. In fact, a survey released last fall found that employees who go into the office spent an average of $863 per month in work-related expenses like commuting and lunches, compared to just $423 for full-time remote workers. And that’s without taking into account child care, giving remote workers even more to spend on other things.

The past three years have been a push and pull between workers and bosses when it comes to flexible work policies. Employers continuously say they want employees back in the office to foster collaboration (among other explanations). Many workers contend that they’re more productive at home (the data there is mixed).

Though the policies are often in flux, at least for now hybrid schedules are winning out at many companies in sectors that don’t require in-person work. LaSalvia says if bosses start demanding workers be at their desks in the office Monday mornings, the spending will dissipate.

“If [in-office days] stay Tuesday to Thursday, I think this story maintains. These one-night trips become three-night trips, and that maintains spending at hotels and restaurants and bars,” he says. “If that flexibility goes away, so does the travel.”

The Fortune 500 Innovation Forum will convene Fortune 500 executives, U.S. policy officials, top founders, and thought leaders to help define what’s next for the American economy, Nov. 16-17 in Detroit. Apply here.
About the Author
Alicia Adamczyk
By Alicia AdamczykSenior Writer
LinkedIn iconTwitter icon

Alicia Adamczyk is a former New York City-based senior writer at Fortune, covering personal finance, investing, and retirement.

See full bioRight Arrow Button Icon

Latest in Personal Finance

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Personal Finance

Current refi mortgage rates report for May 22, 2026
Personal FinanceReal Estate
Current refi mortgage rates report for May 22, 2026
By Glen Luke FlanaganMay 22, 2026
26 minutes ago
Current ARM mortgage rates report for May 22, 2026
Personal FinanceReal Estate
Current ARM mortgage rates report for May 22, 2026
By Glen Luke FlanaganMay 22, 2026
26 minutes ago
Mortgage rates today, May 22, 2026
Personal Financemortgages
Mortgage rates today, May 22, 2026
By Glen Luke FlanaganMay 22, 2026
26 minutes ago
reeves
Personal FinanceInflation
British government’s answer to cost-of-living crisis: discounts on theme park tickets, chocolate bars
By Jill Lawless and The Associated PressMay 21, 2026
13 hours ago
Jeff Bezos
SuccessWealth
Jeff Bezos wants the bottom half of earners to pay zero income tax—he says nurses making just $75K should save $12K a year
By Preston ForeMay 21, 2026
16 hours ago
Current price of Ethereum for May 21, 2026
Personal FinanceEthereum
Current price of Ethereum for May 21, 2026
By Joseph HostetlerMay 21, 2026
18 hours ago

Most Popular

Despite a $500 million net worth, Shaq just finished his fourth degree. He warns graduates: 'Your character will take you further than your resume'
Success
Despite a $500 million net worth, Shaq just finished his fourth degree. He warns graduates: 'Your character will take you further than your resume'
By Preston ForeMay 20, 2026
2 days ago
Jeff Bezos wants the bottom half of earners to pay zero income tax—he says nurses making just $75K should save $12K a year
Success
Jeff Bezos wants the bottom half of earners to pay zero income tax—he says nurses making just $75K should save $12K a year
By Preston ForeMay 21, 2026
16 hours ago
Bolt CEO says he let go of his entire HR team for creating problems that didn’t exist: ‘Those problems disappeared when I let them go’ 
Workplace Culture
Bolt CEO says he let go of his entire HR team for creating problems that didn’t exist: ‘Those problems disappeared when I let them go’ 
By Preston ForeMay 19, 2026
2 days ago
Pay transparency is exposing a bigger problem: Most companies can't explain why they pay what they pay
Workplace Culture
Pay transparency is exposing a bigger problem: Most companies can't explain why they pay what they pay
By Sydney LakeMay 20, 2026
1 day ago
A 'proudly autistic' workplace expert says putting neurodivergent employees in a typical office is like dropping a polar bear in Austin, Texas
Conferences
A 'proudly autistic' workplace expert says putting neurodivergent employees in a typical office is like dropping a polar bear in Austin, Texas
By Tristan BoveMay 20, 2026
1 day ago
Meet a 21-year-old community college student who's going to China as the first American woman welder in the trades Olympics
Future of Work
Meet a 21-year-old community college student who's going to China as the first American woman welder in the trades Olympics
By Mike Householder and The Associated PressMay 17, 2026
5 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.