Risks of Remote Work

The rapid adoption of remote work, accelerated by the COVID-19 pandemic, has brought numerous benefits and challenges. I had the opportunity to discuss these in an interview with Tanner Hackett, CEO and Founder of Counterpart, a company specializing in management and professional liability for small businesses. Tanner shared valuable insights on the risks associated with remote work and how businesses can address them effectively.

The Need for a Clear Playbook

One of the most significant findings from a recent survey conducted by Counterpart was that 27% of CEOs and business owners of small to medium-sized businesses consider managing remote work a major challenge. This statistic highlights the pressing need for a comprehensive playbook on remote work.

According to Tanner, many businesses were caught off guard by the sudden shift to remote work in 2020. Their existing policies, which were designed for an in-office model, were inadequate for the new reality. Four years into the pandemic, companies are still grappling with whether to continue with remote work, revert to in-office work, or adopt a hybrid approach. Regardless of the chosen model, it is crucial for businesses to establish clear processes and routines to support their decisions.

Without a clear strategy, companies risk facing higher insurance premiums and potential legal challenges. Insurance companies have been known to charge higher rates to businesses that lack well-defined practices for hybrid and remote work. This underscores the importance of having a robust playbook that outlines policies and practices for managing remote work effectively.

Legal and Compliance Challenges

Legal and compliance challenges are another significant concern for businesses navigating remote work. Tanner pointed out that businesses must be aware of how federal, state, and local legislation views remote work and protected classes. For instance, caregivers and individuals with disabilities are protected under various jurisdictions, and businesses must ensure their policies do not inadvertently discriminate against these groups.

Tanner emphasized that defining expectations clearly for both current and future employees is the first step in mitigating legal risks. Companies need to be explicit about what constitutes in-office work, whether it is fully remote, hybrid, or specific days in the office. This clarity helps employees plan their lives and reduces the risk of potential litigation arising from unmet expectations.

Employment practices insurance can provide a safety net for businesses, protecting them in the event of litigation due to non-compliance with local requirements. However, the best defense is a proactive approach that includes regular updates to company policies and comprehensive training for employees and managers.

Building a Remote-First Culture

Counterpart itself is a remote-first company, a decision Tanner made when founding the business in 2019. This choice was driven by a desire to access the best talent nationwide, without being limited to a specific geographic location. Despite initial resistance from some investors, the remote-first approach has proven successful for Counterpart, allowing them to hire top talent from various regions.

Building a remote-first culture requires intentional efforts to create a cohesive and productive work environment. Tanner highlighted several best practices that have contributed to Counterpart’s success. These include weekly kickoff meetings, robust reporting infrastructure, transparency on employee activities, and clear expectations about performance standards.

One of the challenges of remote work is the lack of osmosis that occurs in an office setting, where employees learn from observing their colleagues. To address this, Counterpart has been diligent in documenting best practices and communicating them directly to employees. This documentation ensures that knowledge is shared consistently across the organization, enabling the staff to learn and grow even in a remote environment.

The Importance of In-Person Interaction

While remote work offers numerous benefits, Tanner acknowledged the importance of in-person interaction. Humans are social creatures, and building trust and camaraderie often requires face-to-face meetings. Counterpart addresses this by organizing company-wide offsites twice a year and team-specific meetings every quarter. These gatherings provide opportunities for employees to connect, collaborate, and build stronger relationships.

Investing in these in-person experiences is crucial for maintaining a cohesive team and fostering a sense of belonging. The savings from not maintaining physical office space can be redirected towards creating meaningful and memorable offsite events. This approach not only strengthens team dynamics but also helps retain top talent by offering a balanced and flexible work environment.

Looking Ahead: The Future of Remote Work

As we look to the future, remote work is likely to remain a significant part of how businesses operate. Tanner believes that remote work will continue to evolve, with both companies and employees adapting to new norms. The key to success lies in being proactive and intentional about managing remote work, ensuring that policies and practices are well-defined and consistently communicated. Businesses must also stay informed about the legal landscape and be prepared to adjust their strategies as necessary. By investing in robust infrastructure, clear communication, and regular in-person interactions, companies can mitigate the risks associated with remote work and harness its full potential. I will be sharing Hackett’s insights with my clients who I help address the frustrations of implementing a flexible work model.

Key Take-Away

To succeed with remote work, businesses need a clear playbook addressing legal risks, clear expectations, and a strong remote-first culture. Regular in-person interactions and proactive policies ensure long-term success…>Click to tweet

Image credit: Tima Miroshnichenko/pexels

Originally published in Disaster Avoidance Experts


Dr. Gleb Tsipursky was named “Office Whisperer” by The New York Times for helping leaders overcome frustrations with hybrid work and Generative AI. He serves as the CEO of the future-of-work consultancy Disaster Avoidance Experts. Dr. Gleb wrote seven best-selling books, and his two most recent ones are Returning to the Office and Leading Hybrid and Remote Teams and ChatGPT for Thought Leaders and Content Creators: Unlocking the Potential of Generative AI for Innovative and Effective Content Creation. His cutting-edge thought leadership was featured in over 650 articles and 550 interviews in Harvard Business Review, Inc. Magazine, USA Today, CBS News, Fox News, Time, Business Insider, Fortune, The New York Times, and elsewhere. His writing was translated into Chinese, Spanish, Russian, Polish, Korean, French, Vietnamese, German, and other languages. His expertise comes from over 20 years of consulting, coaching, and speaking and training for Fortune 500 companies from Aflac to Xerox. It also comes from over 15 years in academia as a behavioral scientist, with 8 years as a lecturer at UNC-Chapel Hill and 7 years as a professor at Ohio State. A proud Ukrainian American, Dr. Gleb lives in Columbus, Ohio.