What is proximity bias and how does it cause favouritism at work?

Proximity bias happens when managers start to favour employees who they see on a regular basis over those who work remotely (whether full time or simply more often than others). Although proximity bias existed before the pandemic, it has become more of a problem as some employees return to the office while others choose to keep working from home.

This type of bias is a natural instinct, but just because it is instinctual does not always mean we make the correct decisions on the basis of it. While you might see employees working in the office in a more favourable way, they might not actually be working any harder than your employees working from home. 

The effects of workplace favouritism on employees

Proximity bias can therefore have consequences in terms of who you think is worthy of a pay rise, promotion or any other performance-related perk. It might influence the kind of feedback you give to your employees, such as how positively you see their contributions. In a worst-case scenario, your employees who are doing a fantastic job but are working from home could be overlooked for performance bonuses in favour of closer employees who aren’t performing anywhere near as well.

The end result of this could be that talented employees begin to look for work elsewhere if they believe that their performance is not being appreciated. They may also not feel included in key decision-making processes that influence the day-to-day aspects of their role.

Proximity bias and underrepresented groups

A study by HBR found that underrepresented groups such as black employees have a stronger desire to work remotely than their white colleagues. This may be to do with discrimination in the office, however, it can lead to proximity bias becoming an additional issue. Furthermore, proximity bias alongside other biases like unconscious bias towards minority group employees could pose a problem to employers looking to retain diverse talent and stick to their diversity and inclusion policy.

Proximity bias in an international workforce

Proximity bias may often emerge when you have some employees working from home, while others work closely with you in the office. However, the same issue can also arise when you’re working as part of an international workforce, even when everyone is working from an office.

In this case, you might start to favour your team based in your country’s office, rather than fully giving credit to and supporting the teams you’re working with in other countries. While again this may be difficult to avoid, it’s useful to bear this in mind when offering praise or criticism.

Below are some ways to address proximity bias, regardless of where your employees are working.

Preventing proximity bias

Be aware of how working patterns (on‑site, hybrid, remote) can influence perceptions. Use your organisation’s existing communication and performance processes consistently so expectations are clear.

Creating a remote work strategy

Describe in your policy which communication channels are used for day‑to‑day collaboration (for example, real‑time and non‑real‑time options) so teams understand how to stay aligned across locations and time zones.

Managing remote worker performance goals

Apply your organisation’s performance approach consistently for all roles and working patterns. Create space in regular reviews for employees to share context on their work and raise any concerns; document any agreed next steps in line with policy.

During an employee’s performance review, it’s useful to listen to employee concerns if they have any about their potential while remote working. If they feel like their needs are being overlooked in favour of other employees, you can use this time to address any specific issues that they bring up. 

Helping employees to make autonomous decisions

When relying on a network of hybrid-working or remote-working employees, it’s useful to consider how decisions are made overall in the company. Clarify how decisions are made and who is accountable, using your existing governance. Ensure teams know where to escalate questions and how progress is reviewed, consistent with your organisation’s processes.

Allowing your remote teams to manage themselves might also be useful in that they are likely to know what their own needs are, and may be able to reach their own agreement on what works best for them. By checking in with your teams and employees regularly, you can stay up to date with their decision-making processes, therefore giving you the opportunity to assess whether they are effective or not.

Ensuring that performance analysis is objective

When assessing performance, anchor discussions to role‑related expectations and agreed deliverables. If you use quantitative indicators, define them in the role or team context and interpret them alongside documented examples of work, in line with your organisation’s performance policy. 

Proximity bias can be made less of an issue when you know what to look out for and have a strategy in place to prevent it. It can be important to keep tabs on whether proximity bias is happening in your workplace, as it can have negative consequences, such as lower productivity, creativity and employee morale. Actively checking in with your hybrid or remote-working employees to make sure that their voices are being heard can help keep them in the loop. Keeping your analysis of employee performance as objective as possible can also help to reduce the impact of proximity bias.