Fix traffic by forcing commutes, not by fixing transit. Very California.
Governor Newsom's return-to-office mandate, which took effect on July 1, is a masterclass in solving the wrong problem with the wrong tool. The order requires 108,000 of California's 245,900 state employees to work in-person four days a week, up from two days previously. At least 90,000 more employees are affected across state agencies. It is, by any reasonable measure, an aggressive swing away from the pandemic's remote work experiment—and a vindication of every manager who never quite trusted their staff to work unsupervised.
What makes this policy genuinely fascinating, in the way a car crash is fascinating, is what Newsom is not addressing. Workers cite rising commute costs and lack of affordable parking as primary concerns. Traffic conditions are already gridlocked. Pollution is already a crisis. Childcare arrangements, already precarious, are being upended. And yet the governor's response is not to invest in public transit, expand parking infrastructure, or adjust work schedules to stagger commute times. His response is to mandate physical presence, as though the problem is remote work itself rather than a state that has failed to build the systems necessary for millions of people to commute safely and affordably.
This is the most California paradox imaginable: a state famous for progressive environmental policy and worker advocacy is now punishing workers for not burning gas and producing emissions. A state that invests in sustainable transportation is forcing people into single-occupant vehicles because the office needs bodies.
Newsom is defending the mandate firmly, showing no signs of the capitulation that Texas Governor Greg Abbott demonstrated in 2025 when he reversed his own remote work ban within three months under pressure. SEIU Local 1000, which represents 96,000 state employees and is in contract negotiations, filed an Unfair Labor Practice Charge with the Public Employment Relations Board in May. On June 24, the charge cleared initial review and PERB officially issued a complaint. Assembly Bill 1729, backed by employee unions, would require state agencies to develop telework plans with detailed justification for in-person work. None of this has moved Newsom.
The economic argument crumbles under light scrutiny. Yes, a report indicates California could save as much as $225 million annually if employees worked in the office only two days a week rather than four. But that figure assumes the state is somehow benefiting from increased commute costs absorbed by workers, increased traffic, and increased wear on infrastructure. The savings exist only on the state's balance sheet. The costs are distributed among 108,000 workers and their families, and spread across California's already-strained transportation systems.
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Meanwhile, state agencies are struggling with a more immediate problem: they don't have the physical space. During the pandemic, California increased hiring. Offices were designed for a distributed workforce. Now they're being asked to accommodate a surge in bodies that their buildings were never designed to hold. Some departments openly acknowledged they lack adequate desk space, parking, and amenities for four-day-a-week occupancy. The mandate is proceeding anyway.
The workers' objections are not about ideology or laziness. They're about logistics. A single parent without reliable childcare now faces a more rigid schedule. A worker in San Jose with a one-hour commute each way has lost ten hours per week to travel. A parent balancing school pickup schedules has lost flexibility. The state is not solving these problems; it is legislating them away as though they don't exist.
What's particularly galling is that California has the tools and resources to make return-to-office work. Expand BART and Caltrain. Create subsidized transit passes for state employees. Stagger work schedules so not everyone commutes at rush hour. Invest in remote-work technology so hybrid arrangements are genuinely functional. Build the infrastructure that would make commuting reasonable. But these solutions require sustained investment and policy complexity. A mandate requires only an order.
Newsom has chosen the simpler path, and it is revealing. The return-to-office mandate is not a response to productivity data showing remote workers underperform—the pandemic years produced no such evidence. It is not a response to client demand or operational necessity—most state work that can be done remotely continues to function remotely. It is a response to a diffuse cultural anxiety about control, presence, and visibility. The governor has decided that state employees must be managed by sight, and workers must simply absorb the costs of making that management possible.
Texas backed down. California is digging in. And somewhere in a BART car packed at 8:15 a.m., a state employee is calculating how long it will take before they can afford to leave.
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Photo by Moe Magners via Pexels
Priya Mehta
Staff writer covering financial markets and corporate strategy. Has strong opinions about spreadsheets.