These types of work have the added risk of unauthorized people, such as the employee’s kids or friends, snooping in on sensitive information.
That might be helped by the employer providing a dedicated computer for remote work, with screen-recording and facial recognition that locks the system if you’re not (the only person) in view.
Perhaps having always-on video and voice surveillance on that computer, and announcing that fact, would force employees to create a dedicated distraction-free work environment in their homes.