The purpose of the present study is to examine the effect of stress induced by coronavirus (COVID-19), telecommuting, and work orientation on work engagement among employees in the Information Technology (IT) sector. Using a structured survey instrument, data were collected from 285 respondents from four cosmopolitan cities in the southern part of India—Chennai, Coimbatore, Tiruchirappalli, and Madurai using a structured instrument. The hierarchical regression results reveal that (i) stress induced by COVID-19 was negatively related to work engagement, (ii) work orientation is positively associated with work engagement, and (iii) telecommuting is positively associated with work engagement. The results also reveal that (i) telecommuting weakened the relationship between stress induced by COVID-19 and work engagement and (ii) strengthened the positive relationship between work orientation and work engagement. These results are consistent with Job Demands and Resources (JDR), Conservation of Resources Theory (COR), and Career Construction Theory (CCT). The study highlights the importance of telecommuting as a strategic move on the part of the companies to reduce stress and enhance work engagement. Considering the global pandemic situation, employees in the IT sector would find it comfortable to work from their homes and contribute their best for the success of organizations. The present study also suggests ways for the organizations to promote work engagement and remain committed to performing during stressful situations like a global pandemic. The theoretical and practical implications are discussed.