How to hire and manage remote teams in 2025 the ultimate guide
- Gegidze • გეგიძე | Marketing
- 4 days ago
- 12 min read
Table of Contents
Introduction
Remote work is here to stay, and if you’re not prepared to manage a remote team in 2025, you’re already falling behind.
While 35% of U.S. workers can work remotely full-time, it’s not just about giving them the option. Studies show that remote teams are not only more productive but also happier by 20%.
But here’s the catch - remote management is a whole different ball game. It’s not as simple as just switching to online meetings and emails. To truly make remote teams work, you need a new strategy for communication, tools, and processes.
In this ultimate guide, we’ll walk you through everything you need to hire, lead, and succeed with remote teams in 2025.
The evolution of remote hiring
Remote hiring has undergone a massive transformation over the past decade. What started as a niche practice has now become essential for businesses worldwide, largely driven by advances in technology, changing work cultures, and major global events.
Here’s a closer look at how the landscape of remote hiring has shifted and why it's here to stay:
Pre-pandemic: remote hiring was a niche market
Before the pandemic, remote hiring was primarily limited to tech, IT, freelancing, and digital marketing sectors. It wasn’t widely adopted across industries, as many companies preferred in-office teams and doubted the effectiveness of remote work. The idea of managing workers remotely and ensuring their productivity was met with skepticism.
What influenced this period?
Technology limitations: Tools for communication and collaboration weren’t as robust, making remote work more challenging.
Traditional work culture: Offices were the norm, and remote work was often viewed as an exception rather than the rule.
Geographic constraints: Companies focused on local hires, limiting access to global talent.
Pandemic acceleration: Remote work became a necessity
COVID-19 acted as a catalyst, forcing businesses to adopt remote work quickly. With lockdowns and the sudden need for virtual offices, remote work became the only option. What was once a rare practice turned into the new norm for companies worldwide.
What drove this shift:
Lockdowns and virtual office tools: With everyone working from home, platforms like Zoom, Slack, and Microsoft Teams became essential for communication and collaboration.
A global talent pool: Geographic boundaries dissolved, and businesses could now access talent from anywhere in the world.
Post-pandemic: Remote work is now the new normal
As businesses adjusted to the post-pandemic world, they quickly realized that remote work wasn’t just a temporary solution; it was the future. The benefits of remote work, such as cost savings, better work-life balance, and a broader talent pool, were too significant to ignore. Today, remote work policies are standard across industries, from tech to healthcare.
Key factors driving the continued growth of remote work:
Employee demand for flexibility: Workers want more control over their schedules, and remote work provides just that.
Cost savings: Reducing expenses on office space and utilities is a major advantage of remote work.
Expanded talent pool: With remote teams, businesses no longer have to limit hiring to their local area, allowing them to access top talent globally.
Present and future trends: hybrid work models and global expansion
Remote hiring is no longer just about remote employees; it’s about creating fully distributed, high-performance teams that span the globe. Companies are now focusing on optimizing their remote hiring strategies, building trust, and overcoming challenges like time zones and cultural differences.
Future trends to watch:
Hybrid work models: Many businesses are adopting hybrid work arrangements, where employees split their time between the office and home.
Global hiring: With remote work, companies can hire the best talent worldwide, regardless of location.
Efficiency-enhancing tools: From virtual office solutions to employer-of-record services, companies are leveraging tech to make remote work seamless and productive.
Why remote hiring is here to stay
This shift highlights one of the main advantages of remote work: it’s about results, not hours at a desk. Instead of managing where and when people work, leaders are focusing on what gets done. Trusting your employees to meet goals without the constraints of the office creates a more productive environment.
And with the office no longer being a central hub, the world is your talent pool. Remote work allows you to hire the best talent without being restricted by geography. When there’s no office to be tied to, why limit your hiring options to local candidates?
The benefits of hiring remotely
Hiring remotely isn’t just a trend - it’s the future of work. Here’s why you can’t afford to miss out:
Access talent everywhere
Forget the limitations of local hiring. In the past, companies had to settle for talent in their city or offer expensive relocation packages.
Now, you can tap into a global talent pool. Whether they’re across the country or halfway around the world, the best candidates are just a click away.
Boost diversity & creativity
Local hiring doesn’t just limit your talent pool, it limits your team’s diversity. Remote work breaks down these barriers, giving you access to candidates from diverse backgrounds, different abilities, and unique perspectives.
Remote work opens up opportunities for people who may face challenges in traditional office environments, like parents, caretakers, or those with disabilities. The result? A more inclusive, creative, and innovative team.
Attract and retain top talent
Want to keep your team happy? Offer remote work options. 83% of workers say they’d turn down a job without flexibility.
Plus, over half would choose work location flexibility over a prestigious company name. Remote work is a huge employee perk that boosts satisfaction, retention, and performance. In fact, 54% of businesses have seen higher retention thanks to remote work.
Considerations when hiring remote workers
Sure, hiring remotely offers plenty of advantages, but it’s not all smooth sailing. Global teams come with their own challenges.
Here’s what you need to know before you jump in.
Managing payroll without a headache
To achieve payroll compliance is complicated, throw in multiple countries, and it gets overwhelming. If you’re managing payroll for a global team, the complexities of tax laws, local benefits, and payroll requirements could leave you in a bind.
Instead of taking on this burden yourself, outsource to a payroll expert who can handle compliance, taxes, and reporting for you. This lets you focus on what you do best, growing your business.
Paying employees fairly across borders
How do you set fair compensation for a remote worker in another country? It’s more than just converting currency. You need to understand local pay rates, the cost of living, benefits expectations, and more. Pay too low, and you’ll lose talent.
Pay too high, and your budget takes a hit. Finding the sweet spot ensures fairness and competitiveness without breaking the bank.
Understanding permanent establishment risks
Running a business across borders can trigger something called “permanent establishment.” This tax term refers to a business having an ongoing presence in another country, meaning you could be liable for corporate taxes there.
It’s vital to understand the risks so you can avoid tax surprises down the road.
Avoiding costly misclassification
Misclassifying employees as contractors can lead to fines, penalties, and legal headaches. The distinction may seem minor, but the consequences are far from it.
Be clear about job roles, responsibilities, and relationships to stay compliant and avoid costly mistakes.
Protecting your intellectual property
When employees work remotely, managing intellectual property (IP) becomes trickier. Without an office, employees may not always be working on company equipment or during company hours.
IP laws vary across countries, so it’s crucial to understand your rights and protect your business from potential legal battles.
Navigating taxes for global teams
Taxes for remote workers aren’t that different from office-based employees but knowing where your workers are required to pay taxes is key. The challenge is understanding international tax laws. Keep up with the rules, and ensure your team is in compliance no matter where they are.
Make remote work work for you
Managing remote teams can seem complex, but with the right partner, it’s a breeze. You need a payroll and legal expert who can guide you through the ins and outs of global hiring, tax laws, and compliance.
So don’t let remote work overwhelm you. With the right strategy and the right partner, your global team will thrive and your business will grow faster than ever.
3 Proven ways to hire remote workers and expand globally
Expanding your business internationally and building a remote team can seem like a daunting task. However, with the right strategies, you can overcome the hurdles and tap into the global talent pool.
Here are three effective ways to hire remote workers and build a successful international team:
1. Hire Independent Contractors
Hiring independent contractors can be a great solution for businesses looking to expand without committing to full-time employees. Here’s why:
Flexible Project Work: Contractors are perfect for short-term projects or specialized work.
Global Expertise: Access talent from all over the world.
Cost Savings: Pay less in mandatory taxes and benefits.
However, a word of caution: avoid misclassifying contractors as full-time employees. Doing so can lead to fines, penalties, and reputation damage. Be sure your contracts comply with local labor laws and protect your business.
Pro Tip: Use a contractor management solution to set up compliant contracts and protect your business.
Quick Comparison
Aspect | Employees | Contractors |
Work Relationship | Fixed hours, location | Flexible hours, multiple clients |
Nature of Work | Long-term, integral to business | Short-term, project-based |
Payment | Salary + benefits | Pay per project/hour, no benefits |
Team Integration | Fully integrated | Limited integration |
2. Employer of record (EOR)
Ready to expand your team globally? You’ve got two main options: Employer of Record (EOR) and Professional Employer Organization (PEO).
While they may seem similar, the differences are important. Picking the right one can significantly impact your global hiring success.
Here’s a breakdown, no jargon, just the facts.
What is an employer of record (EOR)?
An Employer of Record (EOR) serves as the legal employer for your employees in another country. This means the EOR handles everything: from compliance and contracts to payroll, taxes, and benefits.
You don’t need to set up a local entity or get involved in the complex local legalities. The EOR acts as your shortcut to global expansion, letting you focus on running your business while they take care of the legal stuff.
In short, an EOR is your global hiring partner who simplifies international operations.
What is a professional employer organization (PEO)?
A Professional Employer Organization (PEO) operates as a co-employer. In this setup, the PEO shares the responsibility for managing employees, including payroll, benefits, and compliance. However, a key difference is that you must have a local legal entity in the country where you hire employees.
PEOs work best for companies already established in that specific region, offering a shared approach to managing human resources.
Side-by-side comparison: EOR vs PEO
Feature | Employer of Record (EOR) | Professional Employer Organization (PEO) |
Legal Entity Required | No – the EOR acts as the legal employer | Yes – requires a local entity |
Responsibility for Compliance | Fully handled by the EOR | Shared between you and the PEO |
Speed of Hiring | Fast – no need to set up a local entity | Slower – requires entity setup |
Scope | Simplifies global hiring | Best for businesses with established entities |
Risk Management | EOR assumes compliance risk | Compliance risk shared between you and PEO |
Best For | Quick, global expansion with no entity setup | Businesses with existing local entities |
3. Establish a legal entity
An Employer of Record (EOR) can be the ideal shortcut for quick global expansion, but if you’re planning to stay in Georgia long-term, establishing a local entity might make sense.
Setting up a Limited Liability Company (LLC) gives you full control over your operations, payroll, and hiring. But be warned: it involves paperwork, processes, and a lot of waiting.
Not the most efficient if you're looking for speed.
Is this right for your business?
If you're planning a large-scale expansion with a significant workforce, this could be worth the investment. But for smaller teams or if you're just exploring a new market, it might be overkill.
Local entity vs. global employer of record
Factor | Setting Up a Local Entity | Employer of Record (EOR) |
Speed | Slow – can take weeks or months | Fast–hire in days or weeks |
Cost | Highly significant upfront and ongoing costs | Flat monthly fee per employee, no hidden fees |
Compliance | You're responsible for navigating local laws | EOR ensures full compliance with local laws |
Flexibility | Low – difficult to scale or pivot | High–scale up or down without commitment |
Control | Full control over operations, payroll, and policies | Day-to-day work is managed by you; legal employer role is handled by the EOR |
Risk | High mistakes in compliance can lead to fines | Low–EOR takes on legal and compliance risks |
Payroll & Taxes | You manage payroll and taxes internally | EOR handles payroll, taxes, and benefits |
Best For | Long-term presence, substantial investment | Quick entry with minimal commitment |
How to build connection and trust in your remote work environment
Building meaningful connections with a remote team requires a little extra effort. Without face-to-face interactions, it’s easy for people to feel disconnected. To prevent that, make sure you’re scheduling regular virtual meetings to keep the team engaged.
Also, create moments for social interaction, encourage work-life balance, and build a remote culture that values teamwork and clear communication.
10 proven ways to build trust with your remote team
Trust is the foundation of any successful team, and it’s even more important in a remote work environment. After managing virtual teams for years, the best ways to build and nurture trust.
Here are ten tested strategies that will help you establish trust with your remote employees.
1. Host virtual coffee breaks and check-ins
Casual conversations are a natural part of office life but don’t always happen in a virtual setting. That’s why we make it a point to schedule informal coffee breaks or one-on-one check-ins.
It’s not just about the work; a simple “How’s your day going?” can lead to valuable conversations that help build rapport and trust.
2. Use different communication channels
Not everything needs to be done through email. we’ve found that using various tools for communication helps keep the flow going without overwhelming anyone.
For quick updates, tools like Slack or Trello work great. When a deeper discussion is needed, video calls are perfect.
Switching up your communication channels keeps everyone connected without getting bogged down in constant email threads.
3. Turn on webcams for stronger connections
It can feel a bit awkward at first, but turning on webcams during team meetings really helps create a stronger social presence.
When you can see your team members’ faces even virtually it builds a more personal connection. Encourage webcam use, especially in important meetings, to foster a sense of connection and trust.
4. Understand each team member’s work style
Everyone works a little differently, especially when remote work is involved. To build trust, take the time to understand each team member’s unique work style.
This is especially important when managing different time zones. Knowing how your team works best allows you to delegate tasks in a way that leverages each person’s strengths.
5. Set clear expectations for response times
Remote work offers flexibility, but without clear guidelines, it can become chaotic. Set clear expectations about when people will be available, and agree on how quickly responses should be expected. This clarity creates a sense of reliability, which builds trust among your team members.
6. Share background information about team members
Establishing trust remotely can be tough, especially if your team is new. A simple but effective way to build connections is to share brief bios or background information about your team members.
Knowing who your colleagues are what they’ve accomplished, their expertise, and experience helps build trust in their abilities.
7. Spotlight team members with presentations
Giving team members the chance to shine is key. Rotate responsibilities for team presentations, where individuals present their recent work or upcoming projects.
This not only boosts credibility and trust but also helps quieter team members feel recognized and valued for their contributions.
8. Be clear about project guidelines
Clear communication is critical for maintaining trust, and nothing breaks it faster than confusion. Remote work can sometimes blur the lines, so set clear, concrete project guidelines.
We’ve found that having frequent check-ins and clear deliverables helps eliminate misunderstandings and keeps everything on track.
9. Focus on solutions, not problems
In remote team management, trust flourishes when you focus on solutions rather than dwelling on problems. If an issue arises, address it by finding a solution.
Encourage a solutions-first mindset across your team, which not only boosts morale but also encourages collaboration and builds trust.
10. Keep everyone in the loop
Feeling out of the loop is a common issue in remote teams. Make it a point to keep your team updated on key decisions, company changes, and new strategies. Transparent communication prevents misunderstandings and is a powerful way to maintain trust in a virtual environment.
Bottom line
Managing and hiring remote teams in 2025 is more than just about filling roles, it’s about adapting to a rapidly changing work environment and optimizing your approach to communication, team culture, and tools.
Remote work has proven its value, offering benefits like access to a global talent pool, improved work-life balance, and enhanced employee satisfaction. However, making remote work succeed requires a strategic shift in how you manage, communicate, and set expectations with your team.
With the right tools, support, and strategies in place, you can harness the full potential of remote teams, expand globally, and stay ahead of the curve in a world where remote work is now the norm not the exception.
Frequently asked questions (FAQs)
What are the best practices for remote workers?
Set Clear Processes:
Define roles and decision-making responsibilities.
Communicate decisions to the entire team.
Communication Protocols:
Use tools like email and Slack for updates.
Hold weekly meetings, starting with personal check-ins.
Engage and Support Team:
Stay attentive in meetings.
Praise collaboration and offer support during challenges.
Manage Written Communication:
Avoid sending messages when angry.
Use a positive tone and focus on solutions.
Show Care for Projects and Team:
Identify and solve challenges proactively.
Keep the team focused on goals and success.
