Should Office Workers Get Paid And Promoted More Than Remote Workers?

What if your boss gave you the option to work remotely from an area with a lower cost of living, but you’d have to agree to a lower salary? And what if you knew you’d end up working more hours as a virtual employee, but you’d still be far less likely to get a promotion? These are some of the trade-offs that remote workers may need to make after the pandemic, and while some of these sacrifices are considered par for the course, others raise important questions about the fair treatment of remote staff.

These concerns were prevalent well before COVID-19, but since many employers are expected to adopt a hybrid model of work after the pandemic, the issue has come back into the spotlight in full force. Because whether managers realize it or not, having a workforce that splits its time between virtual and in-person work almost always creates issues around fairness, with respect to how remote employees are treated, whether they feel included, and whether they have the same opportunities for promotion and advancement. It may also result in remote employees feeling that they need to go far above and beyond to “prove” their value, with potentially adverse effects on their work-life balance.?

Many employees who prefer to work remotely have accepted some of these trade-offs in exchange for non-monetary benefits. For example, research from Miro finds that 34% of workers are likely to relocate if remote work becomes permanent in their companies, primarily to be closer to friends and family, for the lower cost of living, and for better weather. Workers may be especially willing to accept the practice of localized compensation , that is, receiving a lower salary in exchange for moving to an area where the cost of living is less. Some states like West Virginia are making relocation more appealing by offering incentives to attract remote employees.

So it’s not all bad for virtual workers. And certainly, the shift to remote work during COVID-19 helped many business leaders see first-hand that remote employees work just as hard as in-person staff. However, there are still longstanding beliefs that impact how these workers are perceived and how they’re being treated. Let’s look at what the research shows around this, and explore what can be done to create a workplace where all employees have the same experience and equal opportunities.

How are remote workers being treated differently?

Research confirms that not getting enough face-time at work can have serious repercussions on employees, both at work and in their personal lives. A study from the University of California Santa Barbara found that remote workers are seen as less committed, have worse performance reviews, and don't advance as quickly as their non-remote peers. They are also less likely to receive the best work assignments. Perhaps most alarmingly, the study found that remote workers have to work harder to continually signal their commitment to the organization, “to the point where they often feel that they're sacrificing their personal lives for their job.”

Adding to this, newly released data from the UK’s Office of National Statistics (ONS) reveals that the unequal treatment of remote workers was a problem long before COVID-19. The statistics show that remote workers are doing almost double the overtime compared to their in-office colleagues, but they were less than half as likely to be promoted over a five-year period. They were also 38% less likely to have received a bonus, and less likely to receive training opportunities.

The ONS acknowledged that the data might appear to suggest that remote workers are less productive. But they noted that this could also be an indication of biases, with at-home employees being overlooked for promotions and bonuses due to a lack of visibility at work. And in a nod to the idea that some trade-offs are perceived to be worth the sacrifice, the ONS reported that the findings could also reflect a preference for non-monetary benefits, such as flexibility and a shortened commute.

Will the hybrid model create a two-tier system??????????????????????????

In short, the answer is “yes”—unless business leaders take action to address this. The reality is that employees who are frequently in the office will have more opportunities to build relationships with senior staff. Of course, it’s human nature to like and trust people more if you spend time with them in person. But in the context of the workplace, this is problematic because it’s also human nature for managers to give promotions to the employees they like and trust the most.

And when remote workers observe that their in-office colleagues are advancing more quickly in their careers, it’s easy to see why they might feel that they have to spend more time in the office in order to succeed. Not only that, any blatant favoritism will quickly erode employees’ confidence in remote working and/or the hybrid model—because who wants to work remotely for a company where the only people who get ahead are those who go into the office?

Creating a level playing field for all employees

For remote work to succeed within the hybrid model, both employees and their managers will have to take action . Workers need to clearly establish their objectives and success criteria and have regular check-ins with their managers. They may also need to take steps to be more visible, for example by turning on their video during meetings or trying to spend some amount of time on-site (if possible). And it’s a smart idea for hybrid workers to be strategic about how they use their in-office hours; for example, timing visits when senior leaders are in the building, or scheduling meetings with managers or other decision-makers.

However, while employees can make some progress toward getting the visibility they need, the onus is on leaders to drive broader workplace change. First, it’s critical that managers establish clear guidelines for how people are expected to divide their time between the home and the office. In addition, leaders should create a level playing field for employees whenever possible. For example , if even one participant is dialing in from home for a meeting, make the entire meeting remote so no one feels left out.?

Managers should also take steps to gain clear visibility into the day-to-day accomplishments of their remote workers. An easy solution is to have employees track their activities in greater detail. A formal tracking system can also be helpful when distributing assignments, to ensure that in-office staff isn’t giving the most important tasks. Above all, leaders need to be more thoughtful about the criteria they use to promote employees and learn to reward performance, not presence.

It’s time to reset how we think about remote work

Many companies have signaled that they plan to adopt a hybrid model after the pandemic subsides. But for this approach to succeed, remote workers will need to feel they are being treated fairly compared to their in-office counterparts. Right now, most don’t feel this way—and if this continues, it could spell the end of the hybrid approach completely.??

It’s true that remote workers may have to accept some trade-offs in exchange for the flexibility to work from home, and many are willing to do so. But when those trade-offs include poor work-life balance and unfair treatment at work, something needs to change. Employees can do their best to stay on the radar at work, but it’s paramount that leaders take a hard look at how they’re managing, promoting, and perceiving their remote team members. Only then can companies create a successful hybrid reality that works for their business and their people.

Sign up for the?Workplace Intelligence Insider Newsletter to get more in-depth research, insights, case studies, and strategic advice so you can make the smartest workplace and career decisions.