Remote work vs telework might sound like the same thing. Many employers use the terms interchangeably, and in casual conversation, that’s fine. But when you’re managing a distributed workforce across multiple states, the distinction actually matters. Each arrangement creates different expectations around office attendance, location flexibility, and—most importantly for growing companies—compliance obligations.
This guide breaks down the difference between remote work and telework, explains the pros and cons of each model, and shows how the right approach to workforce management can keep your team productive and your company compliant.
Key Takeaways
- Remote work means employees work entirely outside a central office, often from any location, with no regular requirement to come in. Telework typically involves a hybrid arrangement where employees split time between home and the office.
- The distinction affects compliance obligations including state registrations, payroll tax accounts, and employee handbook policies—especially when workers are spread across multiple states.
- Choosing the right work model depends on your business needs, the roles you’re hiring for, and how much flexibility you can operationally support.
The Key Differences Between Remote Work and Telework
The terms get used loosely, but there are real differences between telework and remote work that affect how you structure employment arrangements.
Remote work means an employee performs their job duties entirely outside your official workplace. They might work from home, a coworking space, or a coffee shop across the country. The key point: there’s no expectation they’ll regularly appear at a company office. Many remote workers never meet their coworkers and access to their remote team happens entirely through video calls and collaboration tools. For digital nomads or employees who want maximum location freedom, remote jobs offer exactly that.
Telework (sometimes called telecommuting) is more of a hybrid arrangement. Teleworkers perform some work from a remote location—usually their home office—but maintain a connection to a physical workplace. They might come into the main office once or twice a week for meetings, collaboration, or tasks that benefit from in-person interaction. The traditional office remains part of their routine.
Here’s a simple way to think about it:
- Remote work: Employee’s primary workspace is outside the office, permanently
- Telework/telecommuting: Employee splits time between home and office on a recurring basis
- Hybrid work: A broader category that can include various combinations of remote and in-office schedules
The federal government draws a clear line here. According to OPM guidance, telework involves reporting to an agency worksite on a “regular and recurring basis,” while remote work does not. Many private employers follow similar definitions.
Why the Difference Between Remote and Telework Matters for Employers
The difference between the two isn’t just semantics. The work arrangement you choose has real implications for how you manage employees and stay compliant.
State registration requirements change based on where your workers are located. A teleworker who lives 30 minutes from your office and comes in twice a week likely doesn’t trigger new state obligations. But a fully remote employee working from another state? That can create nexus for business registration, unemployment insurance, and income tax withholding in their state.
Payroll tax accounts must be established in each state where you have employees performing work. Remote workers spread across multiple states mean multiple state tax registrations. Teleworkers who remain close to your office and work primarily from that location simplify this picture considerably.
Employee handbook policies need to reflect the actual work environment. Remote employees may need different policies around equipment reimbursement, work hours documentation, and home workspace safety. Your handbook should address both scenarios if you allow flexible work arrangements.
Locality pay and benefits can also vary. Where an employee performs their work often determines which state and local laws apply—including minimum wage, paid leave requirements, and overtime rules. A remote worker in California triggers different obligations than a teleworker based at your Texas office.
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Remote Work: Pros and Cons for Hiring and Workforce Management
Fully remote arrangements have become popular for good reason. But they also come with trade-offs employers should understand.
Pros of Remote Work
- Wider talent pool: You’re not limited to candidates within commuting distance. Global hiring becomes possible, and you can recruit based on skills rather than geography.
- Employee satisfaction: Many workers prefer the flexibility remote work offers. No daily commutes, more control over schedules, and the ability to design their own workspace all contribute to higher retention.
- Lower overhead: Without employees in the office full-time, you may reduce costs on real estate, utilities, and office supplies.
- Productivity gains: Studies consistently show remote workers can be more productive when given autonomy over their work environment and time management.
Cons of Remote Work
- Compliance burden: Each state where remote employees live can trigger registration, tax, and labor law requirements. Managing this across multiple states gets complicated fast.
- Communication challenges: Building culture and maintaining collaboration takes more intentional effort when your virtual team never shares physical space.
- Management visibility: Some managers struggle to assess productivity without in-person interaction. Clear expectations and project management tools help, but adjustment is needed.
- Technology dependence: Remote work models rely entirely on software and stable internet. Technical issues can disrupt workflows more severely than they would in an office.
Telework: Pros and Cons for Office-Based Teams
Telework offers a middle ground that works well for many organizations, especially those not ready to go fully remote. But of course, it’s not perfect, either.
Pros of Telework
- Flexibility with structure: Employees enjoy some work from home benefits while maintaining regular office presence. This balance appeals to many job seekers.
- Simpler compliance: When teleworkers live near your office and perform most work there, you avoid triggering obligations in additional states.
- Easier collaboration: Regular in-person time supports team management, mentorship, and the informal communication that builds workplace culture.
- Clearer boundaries: Having designated office days can help employees separate their career from personal life more effectively than fully remote arrangements.
Cons of Telework
- Limited talent reach: You’re still largely hiring from your local area, which restricts access to specialized skills available elsewhere.
- Scheduling coordination: Managing who’s in the office when—and ensuring the right coworkers and access to resources align—requires planning.
- Potential inequity: If some employees work remotely while others telework or work fully in-office, perceptions of fairness can become an issue.
- Partial overhead: You still need office space, even if it’s not fully utilized every day.
Managing Employees Across Remote and Telework Arrangements
Whether you choose remote work, telework, or a hybrid of both, clear policies make everything run smoother. Here are some best practices to help you along.
Set expectations upfront. Define which roles are eligible for remote work versus telework. Document required office days for teleworkers. Specify core hours when all employees should be available regardless of location. Put this in your employee handbook so everyone understands the employment arrangement from day one.
Establish communication norms. Remote and telework both require intentional communication. Decide which collaboration tools your team will use—Slack, Teams, Zoom—and set expectations for response times. Regular check-ins help managers stay connected without micromanaging.
Address equipment and workspace needs. Will you provide home office equipment? Reimburse internet costs? These decisions should be documented and applied consistently. Some states require expense reimbursement for remote workers, so know your obligations.
Track time and location carefully. For workforce management and compliance purposes, you need to know where work is being performed. This matters for payroll taxes, labor law compliance, and benefits administration. Time management software can help document hours worked across different locations.
How Software and Technology Simplify Remote Team Management
Needless to say, manual compliance and management of a distributed workforce becomes unsustainable as you grow. Thankfully, if you choose the right technology, it can make remote team management possible at scale, no matter how fast or far you grow
Collaboration tools keep communication flowing. Video conferencing, instant messaging, and shared document platforms help remote and telework employees stay connected despite physical distance.
Project management software provides visibility into work progress without requiring constant check-ins. Managers can track deliverables and deadlines while giving employees autonomy over how they structure their days.
Compliance automation like Mosey handles the behind-the-scenes work that trips up growing companies. Platforms that track state registration requirements and payroll tax accounts across jurisdictions, and keep employee handbooks current eliminate the manual burden of multi-state workforce management.
The advantages of technology go beyond convenience, though. Automated systems catch deadlines before they become penalties. They flag when an employee’s location change triggers new compliance obligations. And they free HR teams to focus on strategic work rather than administrative tracking.
Scale Your Remote Workforce with Confidence Using Mosey
As we said, the difference between remote work and telework matters much more than most employers realize. Each model creates distinct compliance requirements that multiply as your team spreads across states.
But Mosey automates the hard parts of managing a distributed workforce. From state registrations and payroll tax setup to employee handbook updates that reflect each state’s requirements, Mosey keeps you compliant so you can focus on building your team.
Ready to simplify multi-state workforce management? Schedule a demo with Mosey and see how easy compliance can be.
Remote Work FAQs
What are the pros and cons of allowing employees to work from home?
The pros of allowing employees to work from home include increased employee satisfaction, access to a wider talent pool, and potential cost savings on office space. The cons include compliance challenges when employees work in different states, communication difficulties, and the need for robust technology infrastructure. Most employers find the benefits outweigh the drawbacks when proper systems are in place.
What is the difference between remote work and telework?
The difference between remote work and telework is primarily about office expectations. Remote work means employees perform all job duties outside the office with no regular requirement to come in, while telework involves splitting time between a home or remote location and the traditional office on a recurring basis.
What is a remote work agreement?
A remote work agreement is a formal document that outlines the terms of an employee’s remote arrangement, including work location, schedule expectations, equipment provisions, and communication requirements. This agreement protects both employer and employee by establishing clear expectations and should be part of the employee’s official employment documentation.
How do I set remote work expectations?
You set remote work expectations by clearly documenting work hours, communication requirements, performance metrics, and equipment policies in your employee handbook and individual agreements. Be specific about core availability hours, required response times, and how productivity will be measured so employees understand exactly what success looks like in their role.
