Meta wants more than just basic employees in the office. He also wants CEO Mark Zuckerberg there – even if it costs money.
The tech giant’s board said in a securities filing Wednesday that it would create a new class of non-voting shares, in part to keep Zuckerberg in charge and give him a financial incentive to continue living near its headquarters. He described his presence in the office as “critically important” to his future success. Meta has required employees to come in at least three days a week since 2023.
Zuckerberg previously told the board he was considering the move in response to California’s proposed billionaires tax. The stock deal would give the CEO $20 billion in “immediate liquidity” to cover the tax by selling shares without losing control of Meta, the filing said.
This arrangement carries particular weight at Meta, where Zuckerberg leads the company’s AI efforts. It also speaks to a common belief that motivated the return-to-power mandates: the best work happens when people – including top leaders – are physically together.
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Cole Rubin, co-founder of sports technology company FanFeed, said CEOs and other leaders send a message to employees by physically working alongside them.
“You’re not going to wonder why you’re working long hours if you actually see the leader doing the same,” Rubin told Business Insider.
Having bosses in the office can also help a company move forward more quickly when unexpected opportunities present themselves, he said. Employees can walk into an executive’s office, get an immediate response, and take action before the moment passes.
“It’s not the scheduled calls where the magic happens,” Rubin said. “When the decision maker is there, it gives people a lot of freedom to be able to feel heard.”
Having a leader is especially important during times of crisis, said Bill George, former chairman and CEO of Medtronic, a medical technology company. Being together allows leaders to quickly assess what happened, gauge employee reactions, and decide on a course of action.
“We need to really feel what’s happening emotionally and we need to discuss it physically,” he said.
George also noted that RTO requirements placed on workers can ring hollow if the CEO does not follow them. “You have to be there if your employees are there,” he said.
Long distance compromise
Meta wouldn’t have been the first company with a remote CEO if Zuckerberg had chosen to leave the Golden State.
Brian Niccol was living in California when he was named CEO of Seattle-based Starbucks in 2024. The coffee chain had agreed as part of its hiring package not to require him to relocate. The company later built a 4,624-square-foot satellite office five minutes from his home so he could work alongside his colleagues, Business Insider first reported. Niccol has since purchased property in Seattle.
Companies with remote CEOs don’t perform as well on average as those with on-site leaders, according to a 2025 study by Boston College and Arizona State. They also have lower valuations and worse insider reviews, according to the results.
Meta’s decision to woo Zuckerberg to stay in California was made by a special committee of its board, which said it was informed by the challenges the company faced when he could not be physically present with management during the pandemic.
The committee said it did not want Meta “to face similar challenges in the future.”
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