JPMorgan Chase CEO Jamie Dimon has told shareholders that his company would seek to achieve a mix of in-person and remote workers following the pandemic. To do this, Dimon said, they would need only 60 desks per 100 JPMorgan employees.

A shift toward remote or hybrid workplaces for technology companies like Square and Facebook is not surprising, but commercial real estate seemed at risk when old guard financial firms like JPMorgan announced plans to reduce their office space.

According to Fortune 500, Commercial office space is still in for a rough ride. Whereas 73.6% of Fortune 500 CEOs said that their office space would be reduced in the future. Businesses are eager to scale back on their commercial real estate expenses despite the economic crisis. (51.4% say they need to reduce their space a little, and 22.2% say they need to reduce their space a lot.)

Many significant cities had ghost towns in the center of their business districts during the height of the pandemic. Commercial office owners might be unable to pay off their debts if this continues to be the case.

The truth is, their leases were often five to ten years long, so they weren’t vulnerable. Two into this crisis, it has become clear that post-pandemic office space requirements are less needed than originally believed pre-pandemic. Some companies are expected to walk away when their leases expire. According to industry analysts, suburban back offices are more likely to be closed than corporate HQs. 

Landlords may feel the pinch if surveys indicate the need to offload some square footage. Zonda’s chief economist Ali Wolf tells Fortune, “the economy remains vulnerable to segments of the office space industry.” 

Hybrid Work.

Corporations are increasingly supporting hybrid work, which can only lead to more cutbacks on office space. More than half of Fortune 500 CEOs say two or three days per week spent in the office is the ideal arrangement for knowledge workers. However, fully remote working is not a realistic option: only a tiny percentage (3%) say one day per week spent in the office is the best solution.

There is considerable pushback against employers that don’t offer hybrid work. One example is Amazon, which mitigated its back-to-work policies earlier this month due to employee dissatisfaction. The e-commerce giant is to allow its employees to work from home two days per week in the wake of the pandemic, with up to four flex days per year. Amazon’s change in policy shows employers’ cautiousness when bringing back staffers. 

Regardless, whether it is cutting back on office space or shifting into hybrid mode, there is no question that things will not be the same in the workforce in the near future.