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ARTICLE · 05 DECEMBER 2025

Paying Remote Workers Less May Heighten Legal Risks

Ogletree, Deakins, Nash, Smoak & Stewart
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Companies rely on hybrid and remote work arrangements to boost their recruiting and retention rates, but they may encounter legal pitfalls if they pay remote workers less than their in-office counterparts for performing similar duties.

United StatesEmployment and HR
T. Scott Kelly
T. Scott Kelly
Charles McDonald, III
Charles McDonald, III
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Companies rely on hybrid and remote work arrangements to boost their recruiting and retention rates, but they may encounter legal pitfalls if they pay remote workers less than their in-office counterparts for performing similar duties. This article summarizes the legal considerations employers should keep in mind when making strategic decisions about remote work policies and compensation for remote workers.

Quick Hits

  • The demand for hybrid and remote work arrangements remains strong among employees.
  • Paying remote workers less than in-person workers for performing the same work could increase the risk of discrimination claims.
  • Reducing pay for exempt employees who work remotely could jeopardize their exempt status in certain situations.

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