I prefer on-site employees to remote for two reasons:
1 - I find that on-site employees are a bit easier to manage. The bar to communication is lower when they're so accessible. Also, I'm working with legacy hardware and software, and there is so much to understand in order to get started on many projects, and it can be a lot easier to sit side saddle with a junior engineer to help them through the first steps.
2 - I don't have a lot of great confidence in my hiring practices and the owners of the company are a little more conservative. As such, I make the safer choice to hire candidates willing to work on-site instead -- I can see when they come in, I can task and re-task on a whim, and I have a much better sense of when they begin down rabbit holes.