I think a big issue is that the costs and benefits are unevenly distributed: the benefits fall mainly on the employee, while the costs are disproportionately on

I think a big issue is that the costs and benefits are unevenly distributed: the benefits fall mainly on the employee, while the costs are disproportionately on their boss (since managing remote workers can be considerably harder). Since the boss is the one making the hiring decision, this asymmetry means remote hires are a tough sell.