[japherwocky]

From the perspective of someone who's been telecommuting for the past year-ish: if they admit that their performance problems are personal, and it's just a lack of discipline on their part, maybe they're not cut out for it.

You've got to be able to ignore sunny days and log some productive hours, and if you can't you're not cut out for telecommuting. And if you've got this culture of being lazy and not taking deadlines / goals seriously, the 3 competent guys are going to realize at some point that they have no real motivation for being competent.

I'd make an example of one of the peons, give the 3 a token raise/reward, and have a chat about what's acceptable and professional.

And if you're looking for a contract guy who can deliver, shoot me an email ;)