3 Reasons Working Remotely Could Be Lowering Your Paycheck — and What To Do About It
Written by
Vance Cariaga
Edited by
Amen Oyiboke
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Nearly six years after the COVID-19 pandemic led to a sharp rise in remote workers, many companies have implemented return-to-office mandates.
But there are still tens of millions of remote employees in the U.S. workforce, and many are falling behind when it comes to pay, according to a new survey from Careerminds, a provider of outplacement and career coaching services.
Careerminds polled more than 1,000 full-time U.S. workers to learn how working arrangements (remote versus in-office) affect access to upskilling, pay progression and career advancement. One thing it found was a “clear gap,” in which remote workers lag behind their in-office colleagues in both pay and promotional opportunities.
That’s the case even though remote workers represent a significant portion of the overall workforce. During the 2025 third quarter, 12% of new professional job postings were fully remote and 24% were hybrid, according to Robert Half.
Meanwhile, the most recent Census Bureau data found that in 2023, 13.8% of U.S. workers “usually worked from home.” That was more than twice the 5.7% that did so in 2019, although it was down from 17.9% in 2021 and 15.2% in 2022.
Here are three reasons working remotely could be lowering your paycheck, followed by some things you can do about it.
1. Smaller Raises
Even though remote and in-office employees get pay raises at around the same frequency, remote workers are more likely to receive smaller increases, according to Careerminds.
Here’s a breakdown of pay raises for remote workers:
- Less than 2%: 14.6%
- 2% to 5%: 59.2%
- 5% to 10%: 21.7%
- 10% or more: 4.5%
In contrast, here is how in-office workers fared:
- Less than 2%: 11.5%
- 2% to 5%: 61.5%
- 5% to 10%: 20.2%%
- 10% or more: 6.9%
2. Overlooked for Promotions
Nearly half (48%) of remote workers are overlooked for promotions, according to the Careerminds study — even when their job performances would ordinarily lead to a promotion. One result is that remote employees are more likely to become disengaged and seek work elsewhere.
“Remote employees might deliver a stronger result than in-office counterparts, but if they don’t see pathways for advancement, loyalty and motivation among these employees can erode, making even the highest performing talent more likely to consider leaving,” Careerminds said.
3. Fewer Opportunities To Develop New Skills
In-office employees are more likely than remote workers to be nominated for skill development programs that can improve their salary potential. This is partly because in-office workers have greater access to face-to-face workshops and formal certifications and are “often rewarded with raises linked to these credentials.”
Because remote employees rely more on virtual learning and online mentorship — and don’t participate in activities such as shadowing colleagues — they have fewer opportunities to “convert skill-building into compensation gains.”
What Can You Do About It
If you want to improve your pay and advancement opportunities as a remote worker, Careerminds recommends using tools that can help you “take ownership” of your career. An example is its Career Enablement platform.
You should also take the initiative when it comes to improving your visibility on the job, according to a blog from Alliance Resource Group. Make it a point to reduce your reliance on virtual meetings and digital relationships and find opportunities to get more face time with leaders and colleagues.
“Recognizing and mitigating these relational deficits is crucial for remote professionals seeking to maintain a trajectory of career success,” Alliance Resource Group said.
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