Remote work, wages, and hours worked in the United States

Remote work gradually increased in the United States during the four decades prior to the pandemic, then surged in 2020. Using the American Community Survey, we show that pre-pandemic, remote full-time white-collar workers earned a wage premium while blue-collar workers paid a wage penalty compared with on-site workers. In 2020-2021, remote workers in most occupations earned a wage premium. Although average wages grew only slightly faster from 2019 to 2021 for remote workers than for on-site workers within occupations, increases in remote work intensity within occupations were positively associated with occupation-level wage growth. Pre-pandemic, remote employees worked substantially longer hours per week than on-site workers, but by 2021 their hours were similar.