It's a shame, because there's an increasing amount of research that shows that people are happier, more productive, and even healthier when they can work from home.
Successful incorporation of remote work boils down to a few things that sound simple but are difficult in practice: 1. Evaluate performance and progress as much as possible by results that are objective and measurable in some way (this goes for company goals as well, not just personal). 2. Communicate the same way with everyone, whether they are remote or local. If people in the office chat in person, but only email with their remote colleagues, they will definitely end up being marginalized. 3. Avoid any discussion that could, indirectly or directly, stigmatize people for being remote.
If you have full organizational support for the above, remote work can be very productive.