Telecommuting impacts employee performance by offering increased flexibility and reducing commuting time, which can lead to higher job satisfaction and productivity. Employees often find it easier to balance work and personal responsibilities, resulting in improved mental well-being. However, remote work can present challenges, including feelings of isolation and difficulties in team collaboration. Companies must implement effective communication tools and regular check-ins to maintain engagement and cohesion among remote teams. Balancing autonomy with structured support is essential to maximize the benefits of telecommuting while mitigating potential downsides.