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How does the employer deal with the fact that some people can telecommute and others just can't?

First, make it clear that telecommuting is nothing more than a different job assignment, and not a perk or benefit. The key is to prevent the perception that employees are entitled to telecommute. Also, many employers have found that offering a range of flexible work options is an effective way to avoid these problems. Those who can't telecommute might be able to job-share or work in some other kind of alternative schedule or staffing arrangement.

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