This study examined the effect of telecommuting systems on employees’ performance in the Nigeria oil and gas upstream sector. 69 valid structured questionnaire data was collected among four selected firms’ staff randomly, namely, Sepia: Petroleum Development Company; Famfa Oil, Chevron Nigeria Limited and Mobil Producing Nigeria Limited. And the text of hypotheses was based on correlation and multiple regression analysis, while SPSS analytical tools where used to analyzing the data. Findings revealed that the telecommuting system has an effect on employee’s performance. Thus, it concluded that the utilization of information technology, Smartphone usage, flexible work arrangement and digital work environment has an influence on employee performance. The study recommends that employees should be provided with necessary gadgets and be trained on how to use them to boost their performance. Also, only trustworthy and high morale personnel who are willing for telecommuting should be selected; Managers should effectively manage professional and physical Isolation of telecommuters through regular visits to the office and meetings with peers.