Photo: Felix Gerlach / imagebank.sweden.se

The study of remote work habits and policy is a moving target. The aim of this report is to compare the research results within the Remote work and multilocality post-pandemic project with the latest international research as a way to gain a fuller understanding of the implications of remote work for the Nordic Region as of 2024. Conducted in the spring of 2024, the literature review sought to capture the latest developments as applied to the field of spatial planning and policymaking. In the literature, several key themes emerged as areas in which remote work influences spatial planning. These include:

(1) challenges and opportunities for transportation
(2) urban-rural linkages
(3) digital nomadism, co-working spaces, and third places
(4) attractive and affordable housing fit for work-live arrangements
(5) impacts on urban cores
(6) polycentric cities and the 15-minute city ideal

These areas have emerged from studies based in a wide variety of geographical contexts, but each section includes a cross-analysis of the literature with Nordic-based studies and reports, including those made previously within the Remote work and multi-locality post-pandemic project. In doing so, we show the prevalence or distinctions of these emerging spatial planning themes in the Nordic context to understand the planning implications of remote work practices for Nordic cities and regions.

While remote work is not an altogether new topic, the COVID-19 pandemic has solidified it as a more common and viable option for many in the workforce. Remote working patterns can be explored from various perspectives, ranging from evaluating the changes to the work environment and managerial practices to the design of office space. This report focuses on the spatial dimensions of planning. The term “telecommuting” frames remote work practices according to the change in mobility and, therefore, accessibility. By depending on ICTs to access work-related files and connect with colleagues, Budnitz et al. (2021) emphasise how, when taken as a commuting practice, remote work “blurs the distinction between residential and employment land uses” (Budnitz et al., 2021, 157). In doing so, practicing remote work changes how one accesses various activities that are traditionally fixed by space and time. By dismantling these previously fixed notions, remote work has the potential to greatly influence our living environments.

One caveat when discussing these topics thematically is highlighted by Sepanta and O’Brien (2023), who point to the intra- and interrelationships between housing, offices, transport, and ICT. The researchers claim that these areas cannot be studied separately but must be assessed together. In their study, for example, remote workers’ energy use was said to be impacted by home size, home affordability, neighbourhood accessibility, lifestyles and behaviours, and internet accessibility. Similar intra- and interrelationships are expected among the sections below. Moglia et al. (2022) also identify multiple factors that drive remote work (attitudes, subjective norms, perceived behavioural control, and tasks), spotlighting how the nuances of individual work activities, lifestyles, and perceptions play a major a role in workers’ mobility patterns, housing choices, spending behaviours, and use of the natural and built environment. These factors have varied implications for spatial planning.

Photo: Melker Dahlstrand / imagebank.sweden.se

The potential to work remotely has major implications on travel behaviour and public transport service. Since the transport sector is also a main contributor to GHG emissions, including in the Nordic countries, mobility changes also have a great effect on the environment and our aims towards achieving key sustainable development goals.

Since the pandemic , some discussions have continued in the Nordic countries about how to use remote work as a tool for achieving environmental goals. For example, in Finland, the 2023 government programme established by Petteri Orpo suggests that the government will “examine opportunities for remote work in public administration positions with the aim of reducing emissions from travel …” (Finnish Government, 2023, 127).

It is no surprise, therefore, that the theme of transportation is prominent in the latest academic literature. On the one hand, remote work has challenged public transport service. On the other hand, some studies suggest that remote work can act as a tool for reducing emissions from the transport sector by encouraging less travel. However, studies on the changes in travel behaviour thus far have mixed results. Despite these uncertainties, it is evident that remote work influences transportation and how planners and researchers think about commuting. As described by Budnitz et al. (2021), remote work “could favour urban forms different from those traditionally supported by commute-oriented transport networks and mode-identified commuting practices” (157).

While the major threats from COVID-19 have dissipated, many public transport operators continue to suffer from low ridership and reduced attractiveness of public transport due to remote work (Axhausen, 2022; Currie et al., 2021; Beck & Hensher, 2022). Transportation systems in the Nordic Region are no different. The Stockholm region’s public transport system has decreased by about 30% since 2019, which has led the transport authority to reduce service for about 40 bus routes and increase ticket prices for residents (Nordström, 2024-a). Citing a traffic analyst for the region, one media article has directly linked the high numbers of remote workers in Stockholm as the reason why transport numbers remain (and will continue to remain) low (Nordström, 2024-c). While Helsinki’s public transport has also seen a decrease in ridership compared to pre-COVID days, the regional transport authority has taken the opposite approach, reducing fares by about 5% as a way to incentivise passengers to return and testing alternative ticket packages (Lönnqvist & Salorinne, 2022; Nordström, 2024-a; 2024-b). In Oslo, a pilot project was introduced to test out discounted single-trip public transport tickets. The project provides discounts the more frequently one travels using single tickets and is targeted towards people who “commute 1-3 days a week or have a more unpredictable travel pattern” (Ruter, n.d.). As of September 2024, Oslo’s public transport authority, Ruter, has also reduced the cost of 30-day and annual transport cards within Zone 1 (covering the bulk of the municipality; Ruter, 2024). The regional operator Vy also offers “smart tickets” that are price-tailored to the uneven travel patterns of hybrid workers and students who travel regularly between two specific stations (Granath Hansson & Gudmundsdottir, 2024). 

At the same time, some research in the Stockholm region has pointed to the mismatch between public transport service schedules and workers in particular sectors, such as those working in care and service, leading to transport vulnerabilities (Henrion et al., 2023). Workers in these sectors are also those who have less potential for remote work, which raises further questions about how public transport systems can better serve residents. Based on qualitative interviews with transport providers in Denmark, Lindberg et al. (2023) also recommend “greater flexibility in the systems and infrastructures surrounding everyday urban mobilities,” which could include “initiatives for strengthening the opportunities for establishing mobility hubs and investing in MaaS [Mobility as a Service] solutions” (14).  

A majority of municipalities in the Swedish ÖMS region (central Sweden) report that remote work has had a large or fairly large effect on travelling and commuting. While demand for public transport has decreased in many municipalities (ÖMS, 2023), some reports show increasing trends in active mobility such as walking and cycling compared to before the pandemic (WSP, 2023; Henrion et al., 2023; Statista 2023-a). In a study on travel behaviour in the Nordic capitals from before and after the pandemic, researchers noted that people tend to use cars for private trips more often than public transport, with slightly more people indicating their use of the car after the pandemic for such errands and fewer selecting public transport (WSP, 2023). This has also been echoed in some media reports, for example in Stockholm, where transport authorities have noted that they need to consider how to increase public transport ridership for leisure trips rather than on commuting journeys (Nordström, 2023). While all Nordic capitals have had a decrease in public transport ridership for leisure trips after the pandemic, Stockholm has experienced the largest decrease, from 42% to 32% (Statista, 2023-b).

Remote work can also reduce congestion in cities. For example, Loo & Huang (2022) show how work-from-home arrangements reduced congestion in the central business district and urban core of Hong Kong during peak morning commuting hours, though little change was identified in traffic congestion during evening commuting hours. Furthermore, since work-from-home regulations were lifted, traffic congestion has generally returned to its pre-pandemic numbers. In their analysis of human mobility in New York during the pandemic stages, Shearston et al. (2021) also showed how lockdown policies influenced traffic congestion. The researchers see these interventions as a proxy for future large-scale traffic measures that can play a role in reducing mobility. Their study showed the rebound effect of traffic congestion as policies were lifted. Survey results from Currie et al. (2021) also predicted a decline in commuter volume for the city of Melbourne post-pandemic, with the most dramatic commuter volume decreases in the CBD.

Hu et al. (2023) evaluate the effects of changes in mobility behaviour on traffic congestion from another angle. They hypothesise the potential for the pandemic to spark an increase in the use of single occupancy vehicles at the expense of car-pooling or other high-density travel modes like public transport. By looking at commuting data in 118 metropolitan areas in the United States, the research suggests that, if there is a 25% mode shift from transit and carpool to single-occupancy vehicles, residents in many major American cities will experience an increase in travel time between 2 and 20-minutes for their round-trip commutes due to increased traffic congestion (Hu et al., 2023, 2). The authors also suggest that such an increase will have a major negative economic impact on the metropolitan areas. Based on this work, Hu et al. (2023) suggest that these negative time and cost impacts can be relieved by encouraging a percentage of commuters to work from home. Yum (2021) also suggests that telecommuters choose to travel at different times of days compared to regular commuters, assumedly due to congestion. Related to congestion, some literature also mentions the potential to limit noise and air pollution through less commuting behaviour, depending on the modes of transport used to commute in different cities, small towns, or rural areas (e.g., Brown et al., 2021; Arisanti et al., 2024).

Similarities can be seen in the Nordic context. For example, in Helsinki, the city reported that, as remote work becomes more common, fewer commutes are made, but they are longer on average. The effects can lead to decreased traffic performance (fewer commutes) or increased traffic performance (longer commutes on average; Metsäranta et al., 2021). Statistics Sweden (2024) reports that commuting areas around the three largest cities increased between 2020 and 2022 with Stockholm seeing the largest increase. This is hypothesised to stem from larger job markets and larger allowances of remote work. For the 10% that commuted longest in the Stockholm area and had specialised higher education, commuting distances rose from 27 to 40 km one way. Weaker increases were also noted in the Gothenburg (3.9 km) and Malmö areas (4.4 km). Findings from the Swedish Agency for Economic and Regional Growth (Tillväxtverket; 2023) also suggest that the shift to remote work arrangements after the pandemic have enabled managers and professionals with jobs that can be done remotely to move their residence beyond the metropolitan region and combine work from home with occasional long-distance commuting to their city centre workplace. From a rural perspective, Bogason et al. (2024-a) mention the importance of investing in road infrastructure in order to expand residential and labour markets between small towns located near larger urban areas, which has been noted in national strategies such as Norway’s strategy for small towns and larger towns as regional powerhouses.

Research evaluating the relationship between remote work and travel behaviour (frequency and mode of travel) provides mixed results. In some studies, researchers find that remote workers make more non-work-related trips (Budnitz et al., 2020; Greaves et al., 2024). Results from Sepanta and O’Brien (2023) show that commute time and distance decrease for those who work fully remotely; however, they suggest that the long-term impacts of teleworking may result in longer commuting times and distances if telecommuters decide to live further from their office but still work from the office on occasion (e.g., once per week) and also work remotely from somewhere else besides their home. Based on the outcomes of mobility and predictions that people will seek out lower-density areas with more affordable housing, Axhausen (2022) also highlights that the pandemic may lead to a “new wave of sprawl” with a rise in car ownership and transport by car (Axhausen, 2022, 86).

Elldér (2020) used micro-data from the Swedish National Travel Survey to investigate how telework influences daily travel throughout Sweden. Based on the survey respondents, he found that those who telework for the whole day are less likely to travel than those who telework for a partial day or not at all. When they do travel, full-day teleworkers are more likely to use active modes of travel and to “travel shorter distances than those who do not telework” (Elldér, 2020, 6). Full-day teleworkers also made fewer trips than those who telework for a partial day or not at all. Importantly, when evaluating travel distances for teleworkers, the research showed that those living nearer to the city centre, in higher density areas, and around mixed land use tend to travel shorter distances. Elldér’s results echo some studies, but contradict others (e.g., Axhausen, 2022; Budnitz et al., 2020; Greaves et al., 2024) that suggest teleworkers may make more or longer trips compared to non-teleworkers. One reason for this potential difference is his use of micro-data from travel surveys and his research within a Scandinavian context. 

Researchers point to the importance of people’s ability to make chains or bundles of their trips (to make efficient use of the commute by stacking other errands into one’s transport practices; see also Sepanta & O’Brien, 2023). Trip-chaining can be made more feasible for telecommuters who travel for non-related work purposes when they live in higher density areas with shorter distances between each non-work destination. In the academic literature, several studies reported an increase in walking and cycling since the pandemic, particularly in urban areas (perhaps because these environments are more conducive to active mobility given their dense morphology; Currie et al., 2021; Axhausen, 2022). There is a correlation between use of active travel modes and built environment factors such as high density, high diversity of land use, and proximity to the city centre, which is also highlighted in the context of England (Budnitz et al., 2020) and in the Twin Cities metropolitan area in the United States (Yum, 2021), where telecommuters were, in several cases, more likely to walk or bike for leisure activities.

In a case study of telecommuting centres in Stockholm, Bieser and colleagues (2021) found that when people worked from their employer’s office or from telecommuting centres, they used energy efficient transport modes, but when working from home, they more often used the car for private travel needs. Therefore, the researchers conclude that, in order to make remote work more sustainable, people need to have access to and find attractive more energy efficient modes of transport for conducting leisure trips (e.g., running errands, visiting non-work destinations).

Glackin and Moglia (2022) foresee hybrid work as the most common work form and point to transport as a deciding factor on the extent of remote work. Distance to work is said to increase the probability of remote work, while access to timely transport decreases probability. The authors also bring up the possibility that infrastructure investments will depend on local politics and choices between strengthening the CBD or localised strategies working in the other direction.

In a survey of 11 European cities, Nicolini et al. (2022) confirmed that reducing transportation during the national lockdowns of the pandemic resulted in reduced CO₂ emissions. The findings provide a dramatic test case proving that reducing mobility behaviour through policy may be possible and can have a major impact on emissions. As Nicolini et al. (2022) state: “The temporary nature of the observed emission reductions emphasises the need to implement systematic changes in the city ecosystem and people’s lifestyles to achieve effective and sustained climate change mitigation” (10), with changes to mobility playing a major role. Reports from the European Environmental Agency have also shown the clear dip in GHG emissions within the transport sector in 2020 compared to previous years, with a rebound effect after 2021 (EEA, 2023). This is also reflected in the Nordic context where total emissions dropped by about 10% in 2020 (Nordic Statistics Database, 2022). An American study has also shown that the potential for carbon-emissions reductions is higher in car-centric cities compared to cities whose residents already rely on sustainable modes of transport; thus, remote work may play a more strategic role for reducing emissions in some areas over others (Zhang et al., 2023). However, the potential of this largely depends on remote workers’ travel behaviours for non-work purposes or when travelling to a third space to work (Li et al., 2024).  Furthermore, the policy discussion around the long-term effectiveness of this for holistic sustainability is more nuanced and complex, and remote work is not a silver bullet solution by any means.

The international literature also refers to links between remote work and other environmental and transport related concerns. In their research on the carbon footprint of remote work, Zhang et al. (2023) introduce factors of income level and occupation to understand how specific population groups contribute to or are affected by remote work’s carbon reduction potential. By testing scenarios in four US cities, the researchers found that “low-income individuals are predominantly employed in professions with limited remote work opportunities. Paradoxically, they shoulder a more substantial burden in terms of carbon reduction efforts, underscoring the challenges faced by low-income populations in diminishing their carbon footprints” (Zhang et al., 2023).

Photo: Nick Night / unsplash.com

Historically, remote work has been an urban phenomenon (i.e., residents living in cities telework more often than those living in towns, suburbs, or rural areas) since there are often more jobs that allow for remote work in urban areas (Sostero et al., 2024). However, it is unclear whether this will continue to be the case. Due to more common forms of hybrid work, new linkages between urban and rural areas seem to be emerging.

Several international studies highlight these new flows and linkages. For example, Bürgen et al. (2021; 2022) studied hybrid workers in rural areas in Switzerland and found that participants emphasised maintaining linkages to urban areas, both for economic activity and social interaction. In their study on co-working spaces in rural Germany, Hölzel and de Vries (2021) suggest that, with the time saved from commuting to the office, “people could get more engaged in social commitments, contribute to associations or similar activities. Their presence in the rural town could thus be higher, [resulting] in more vitality and vividness in the centre of the village and small towns” (Hölzel & de Vries, 2021, 12). However, the authors emphasise that these remote workers engage in a multi-local lifestyle, noting that regular travel to cities is still relevant for the rural-based residents. Based on the study from Bürgen et al. (2022), it is not always likely that those working remotely in rural areas will be more invested in rural life. While linkages created from urban to rural are mainly personal and involve the individuals becoming embedded in local structures, their embeddedness has limited economic effects unless the participants work for a company located in a rural area. Those working remotely in rural areas maintain important connections to economic and social activity based in urban areas, thereby creating on-demand linkages or flows between urban and rural spaces (Bürgen et al., 2022). Finally, a 2023 OECD report using housing prices as a proxy for ownership demand showed that, although housing demand has extended outside of metropolitan areas, “we are not seeing a re-emerging preference for rural life as such, but rather an increased preferences for places that combine the benefits of both rural and urban life” (Ahrend et al., 2023, 1).

In the Nordic context, Eliasson (2023) shows that workers continuing to work in the city centre who relocate most often move to Stockholm’s suburbs (which was already the case before the pandemic). However, Eliasson found that managers and professionals with remote work potential in Stockholm were more likely to move outside of the Stockholm region—to medium-sized cities or smaller cities/rural areas—than their non-remote worker counterparts after the pandemic compared to before: “The counter-urban flows of city centre workers to smaller locations are fairly small in absolute terms, but the increase has been quite substantial” (Eliasson, 2023, 23).

See section above on “urban cores” for more on these migration patterns.

From a regional perspective, reports at Nordregio made some similar conclusions. Comparing internal migration patterns from 2020-2021 to 2018-2019, Randall et al. (2022-b) found that major urban areas across the Nordics experienced an increased out-migration. Some regions experienced higher increases of internal in-migration from the capital regions compared to others.

For example, Lappi and Etelä-Savo (Finland); Region Jämtland Härjedalen (Sweden); Trøndelag, Møre og Romsdal, Vestfold og Telemark, and Vestland (Norway); and Austurlund, Norðurland vestra, and Vestfirðir (Iceland; see Map 4 in Randall et al., 2022, showing increased in-migration from capital regions to other regions in 2020-2021 compared to 2019-2019).

However, in their case study of Copenhagen, Randall et al. (2022-b) found that those who migrated away from the capital municipality during the pandemic (predominantly young families) tended to move nearby, to surrounding municipalities, rather than to further regions.

Some research has pointed to the specific role that housing plays in attracting and retaining populations. In a 2023 study, Thulin et al. (2023) confirm the notion that teleworkers would like to continue hybrid work rhythms in the future in their interviews of Swedish public employees. The pandemic placed “greater emphasis on the home as a central hub and the primary locus of shared work/life activities and interactions,” a finding substantiated by Zhang et al. (2022) as well in their discussion of the home as a key anchor for mobility studies (more so than the fluid anchor of workspace). Thulin and colleagues suggest that urban policy and planning focuses on “enhanc[ing] the attractiveness and liveability of residential areas, not only to retain current residents but also to attract new ones” (Thulin et al., 2023, 8). For some of the respondents, this meant expressing an interest in moving to the countryside; others showed interest in relocating more centrally. McCue (2021) argues that it is likely that remote workers will choose housing with amenities found in resource rich neighbourhoods, which could mean that smaller towns and rural areas seeking to gain new residents through remote work opportunities might focus on housing environments as a major attraction factor.

The discussion of attracting and retaining populations is prevalent in smaller towns in the Nordics. Many smaller municipalities in the Nordic Region have, for several decades, been facing challenges associated with ageing and declining populations. For this reason, planners in such municipalities have considered initiatives for attracting and retaining new populations. However, as shown in research by Nordregio (Granath Hansson & Guðmundsdóttir, 2024), formal strategies for doing so are lacking. The rural and regional case studies conducted within this remote work project indicated the same findings, mainly that policymakers have yet to integrate specific remote work strategies into their strategic planning frameworks (Bogason et al., 2024-a). Nevertheless, they recognise its potential for fostering rural and regional development (see Boxes 4 and 5 for examples). These policymakers continue to emphasise the overall attractiveness of their regions by working on the provision of high-quality services and promoting various advantages such as affordable housing, proximity to nature, appealing town centres, quality infrastructure, and social trust. Remote work is further perceived as an integral component of this broader strategy. Rather than dedicating specific strategies for remote workers, the municipalities recognised this group as part of a larger population group which they wish to attract or retain. The COVID-19 pandemic demonstrated the feasibility of remote and hybrid work, thereby increasing awareness among both employees and employers of the viability of working from more remote locations. This awareness underscores the potential for remote work to contribute to the economic and social vitality of smaller towns and rural areas, complementing existing efforts to enhance regional attractiveness and sustainability (Bogason et al, 2024-a).

One example of regional planning for attracting populations through remote work has recently emerged in the North Savo region of Finland. In a project referred to as “Multi-locality to boost the attractiveness of North Savo,”

In Finnish, Monipaikkaisuudesta boostia Pohjois-Savon vetovoimaan, see https://www.pohjois-savo.fi/viestinta/uutiset/monipaikkaisuus-hankkeeseen-haetaan-mukaan-5-7-kuntaa.html

the region will select 5-7 municipalities to implement several measures to support multi-locality by promoting local employment and participation in the municipality. The success of the measures will be evaluated by collecting data on how many people in the municipalities have multiple places of residence, their duration of stay in the municipality, and their regional economic impacts (Regional Council of North Savo, 2024).

The project builds upon an earlier multi-location project

See https://www.savogrow.fi/tietoa-meista/hankkeet/monipaikkaisuus-hanke/

(2021-2023) organised by SavoGrow, a company co-owned by several municipalities in North Savo. The former project developed a collection of measures about how municipalities could better account for people living multi-locally within local action plans. The measures fall into the topics of will, participation, vitality, and mobility, and have been compiled into a user-friendly deck to share among municipalities and regions.

See https://issuu.com/savogrow/docs/monipaikkaisuus-t_htiluokituskortit-v1_007?fr=xKAE9_zU1NQ (in Finnish).

Though multi-locality has been a common concept and phenomenon in Finland (as well as other Nordic countries) for many years, it has not been utilised as a strategy in regional planning until recently with growing remote work opportunities prompted by the pandemic.

A new study from Iceland, conducted by the University in Akureyri, further highlights that remote work within the state sector is here to stay, but also that employees are generally thriving and viewing remote work positively. The study shows increased job opportunities for highly educated individuals in rural areas following the government’s initiative, and it allows people to change jobs without relocating their families (Gísladóttir et al., 2024). However, challenges include the distance from colleagues, which can affect communication and lead to issues with supervisors and coworkers. There is also a need for better dissemination of information about remote work policies and grants. In a survey conducted for the research, respondents expressed significant interest in implementing work clusters or co-working spaces in most municipalities to combat social isolation among remote workers. This approach is considered more effective than assigning individual desks in existing municipal offices to ensure equity (Gísladóttir et al., 2024). According to the interviewees, the Icelandic state initiative was viewed positively for regional and rural development while also influencing employers in the private market to increasingly offer remote work options.

In Iceland, pre-pandemic regional policy about jobs without placement has gained momentum, and post-pandemic, all government jobs should be advertised without a specific placement so as not to limit who can do the work (unless the work requires clear site-specificity; see Synthesis section of this report). A five-year action plan 2022-2026 aims to distribute government jobs more evenly outside the capital area, emphasising the balance of long-term population decline, unemployment, and monotonous economic life (Alþingi, 2022). The plan notes that “targets will be set for increasing the number of workspaces and non-local jobs with as even a distribution as possible across the country” (Alþingi, 2022). 

Other recent studies from the University of Akureyri also show an increase in the percentage of jobs from ministries that could be advertised as non-local or site-less (12% of governmental jobs) compared to previous analyses (RHA, 2024). While the intention of this is to create more balance by enabling more jobs in the countryside, some concern was raised within the case studies of this project about potential unintended consequences – for example, that jobs based in the countryside can now be done remotely by those moving to the capital area (Bogason et al., 2024-a). In August 2024, a step was taken to encourage an increase in and subsidisation of government remote work in rural areas with the approval of special funding to support the goal. Government agencies in the Capital Area will be able to apply for grants for each remote position located in a rural area. The grants will cover costs associated with providing facilities for employees and travel expenses (Innviðaráðuneyti, 2024). 

Within the Nordregio studies, urban and rural attractiveness was identified as essential for attracting and retaining remote and hybrid workers in the selected Nordic municipalities. Whereas the term urban attractiveness is subjective and the literature points to a multifaceted concept (see Box 2; Hidman, 2018), there seemed to be agreement on what constitutes an attractive small town in the five Nordic case towns, as more or less the same town features were brought up as important for urban attractivity (Granath Hansson & Guðmundsdóttir, 2024). The studied municipalities identified strengths, such as affordable housing, short distances, access to digital and physical infrastructure, as well as access to nature and leisure activities. However, they also strive to overcome difficulties such as more vibrant city centres (often using densification as a tool) and an appropriate housing mix.

While most municipalities continue to look towards economic growth and development as the key policy message, discussions around smart shrinkage are also important (see, e.g., Syssner, 2022). Despite changes and opportunities of multilocal work patterns exacerbated by the pandemic, forecasts continue to suggest a decline for municipalities outside major urban regions. While this is known, few policymakers and planners are developing strategies that acknowledge and prepare for this reality. An upcoming Nordregio report provides insights on smart adaptation strategies in Nordic rural municipalities.

See https://nordregio.org/research/smart-adaptation-to-rural-realities-approaches-and-practices-in-nordic-municipalities-and-regions/

Research from Schmit-Thomé and Lilius (2023) highlights an example from Puolanka, a rural municipality in Finland that has embraced a social and cultural identity of pessimism (see Box 6).

Since 2006, the idea of pessimism has grown into a sort of brand for the municipality, involving Pessimistic Days, a Pessimism musical, and pessimism-themed merchandise, some of which has been co-funded by regional development programmes. The brand did not initiate from the municipality or mayor’s office, but in a grassroots way from residents initially involved in the Pessimistic Society.  Puolanka also focusses on retaining residents rather than attracting new residents, with multi-locality as one way to do so. Those who work remotely or spend time in the municipality only during the holiday seasons (summer, Christmas, Easter) are considered “part-time Puolanka citizens” (Schmidt-Thomé & Lilius, 2023, 10). The residents are viewed positively by other residents and the municipality, who view them as an opportunity for the future and worth investing in. 

The municipality believes that remote working will bring more residents to Puolanka in the future, and therefore needs to invest in service provision. They are also “interested in flexibly converting secondary homes to primary homes” in order to “make multi-locals permanent residents in Puolanka” (Scmidt-Thomé & Liluis, 2023, 10-11). The authors consider how multi-locality could be used as a policy concept for the Finnish shrinking municipality by emphasising well-being of the existing residents instead of concentrating strategic efforts on growth.

In the Nordic context, urban-rural linkages have also previously existed through the flexible lifestyles afforded via second home ownership, as around half of the Nordic population has access to a second home. Previous research has highlighted the benefits of second homes and seasonal tourism for rural development through job creation, cultural activity, and service provision. Continued forms of remote work may also contribute to these activities in rural areas with high shares of second homes. However, these urban-rural flows also complicate the territorial distinctions baked into spatial planning, which manifests in uneven tax benefits for municipalities, among other pressures placed on smaller municipal planning departments (Bogason et al, 2024-b; Slätmo et al., 2019; Bogason & Slätmo, 2023).

The Nordic survey participants in the Nordregio research project indicated a significant increase in the use of second homes during the pandemic. Over half of the Nordic survey respondents suggested an increase in a collection of factors related to second homes, including demand, price, and more time using second homes on weekends, outside of high season, and in combination with work (Randall et al., 2020-b). While it is difficult to know precisely how changes in housing demand or second home use are directly connected to remote work, the survey participants perceived that remote work opportunities played a significant role in both temporary and permanent population changes. Rural and regional case studies carried out by Nordregio (Bogason et al., 2024-a; Bogason & Slätmo, 2023) point to problems related to the purchase of second homes by non-residents: increased demand creates housing shortages and drives up prices, which is particularly problematic to permanent residents in regions where the local economy does not support high wages. Additionally, second homes are frequently unoccupied for extended periods, leading to a lack of community cohesion and vitality. These phenomena might render rural areas less attractive to remote workers who seek attractive and affordable housing as well as vibrant and engaged communities.

In their report on remote work in rural areas, Bogason et al. (2024-a) studied the case of Keuruu, Finland, where people already living in the area or who own summer houses would benefit from remote work opportunities. The work of attracting residents has mainly focused on those who already have ties to the area (e.g., young people who have moved away but may be inclined to move back). The report states that some municipalities in Central Finland have supported this by changing zoning policies (Bogason et al., 2024-a). Several other studies have tracked the phenomenon during and after the pandemic. Using mobile phone data in Finland, Willberg et al. (2021) saw a shift in the presence of people from the Uusima region (Helinski) city centre to rural areas during the pandemic, particularly those with second homes. However, some researchers doubt that remote work from second homes (at least on a permanent basis) will become a large-scale trend, as people will continue to use their second homes as part of a multi-local lifestyle with anchor points elsewhere—such as in the city (Lönnqvist, quoted in Sandell, 2022). In a report from Aalborg University, survey results showed that only one in ten Danish employees who worked from home during the pandemic used locations other than their primary residence to do so (Haunstrup Christensen et al., 2024).

In the international literature, remote work has also been discussed from the rural perspective with regards to developing a so-called rural-creative class (Duxbury, 2021). While Richard Florida’s well-known concept of the creative class came to prominence in the early 2000s, his idea that a young professional demographic can influence the economics of cities has maintained its stronghold in planning discourse. Duxbury (2021) builds upon the idea by considering how cultural policies in rural areas can support a rural creative class. Her review of academic and planning documents of cultural work in non-urban areas reveals opportunities for policymakers to both attract and retain residents through a “comprehensive approach to fostering cultural and creative work in rural and remote areas” (3). Hill et al. (2020) evaluate the situation from the perspective of retaining rural populations. In their short-term evaluation of a certification programme in rural Utah, where individuals had the opportunity to train on remote work practices, the authors suggest that remote work can enable rural residents to gain jobs based in larger urban areas without needing to relocate. Duxbury (2021) also highlights that retaining populations in rural areas is key and suggests that cultural and creative opportunities in rural and remote areas can play a significant role in facilitating rural vitality. However, the notion of the creative class—both urban and rural—has been much debated since its inception, often due to its bias towards attracting wealthy individuals to areas seeking economic growth, leading to issues of gentrification and further disparities between rich and poor residents (see, e.g., Wetherell, 2017). 

Digital infrastructure has been cited as a key resource for enabling remote work (Sostero et al., 2024; Paul, 2022). In the pre-pandemic study made by Bürgen et al. (2021) in Switzerland, researchers also learned some nuances regarding how individuals use ICTs when working remotely, away from urban areas. While ICTs are important enablers of remote work, the study showed that, when choosing to work remotely from a rural location, they spent less time on their laptops, especially working on documents on their laptops. Rather than increasing their ICT use, the workers strategically used the remote work opportunity to work in different ways and take advantage of, for example, the inspiring scenery around them and using more analogue modes of work to accompany this. The participants also took more breaks when working remotely in these peripheral areas and worked more flexible hours compared to their time working at their jobs in urban centres. Importantly, the study considered hybrid workers, and participants noted the importance of maintaining access to the city and working from urban centres in order to inspire teamwork and collaboration among colleagues.