Do Flexible Workspaces Foster Employee Interactions? Longitudinal Evidence from Activity-Based Work Environments

As organizations adapt to evolving work practices, many are turning to activity-based work environments with the aim of enhancing employee interactions, particularly communication and collaboration. Despite the growing popularity of activity-based work environments, evidence on their actual impact remains limited and mixed. This study investigates how transitioning to activity-based work environments affects employee communication and collaboration, and how these effects depend on person-environment fit. Drawing on longitudinal survey data from three small organizations in Iceland, we analysed employee responses collected once before and three times after the activity-based work environment was implemented. Using hierarchical linear modelling, we find modest but statistically significant increases in communication and collaboration following the transition. Furthermore, the improvements were more pronounced among employees with a higher person-environment fit, suggesting that alignment between individual preferences and workspace design plays a key role in shaping outcomes. These findings contribute to a clearer understanding of how flexible workspace arrangements influence day-to-day employee interactions and highlight the importance of accounting for individual differences in evaluating such changes.MAD statementThis study provides important insights into how activity-based work environments influence workplace communication and collaboration, offering scholars and practitioners evidence-based guidance on designing workspaces that support effective employee interaction. By using longitudinal data and examining the moderating role of person-environment fit, the research demonstrates both the overall benefits of activity-based work environments and the value of aligning workspace design with individual needs. These findings address a growing organizational challenge: fostering communication and collaboration in increasingly flexible and dynamic work settings. As such, this work is highly relevant for those seeking to improve employee interaction, teamwork, and performance through thoughtful workplace design.