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Raytheon, a U.S. defense contractor, plans to reduce its real-estate footprint and create a more inclusive work environment by embracing a hybrid work arrangement, CNBC reported.

The company is looking to reduce its 23 million square feet of office space by 25 percent (8 million square feet), the cable news channel revealed.

Raytheon CEO Greg Hayes told CNBC that the hybrid-work approach, which will allow employees to work remotely at least part of the time, is key to providing the work-life balance many working mothers need.

“As I think about the goals that we have around diversity and trying to keep young women in the workforce, this type of flexibility is absolutely essential,” Hayes said.

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