The outbreak of COVID-19 produced drastic changes in every business activity & placed severe strain on human resource management activities. Although in fighting the disaster, companies found remote working as the shadow of light that may provide safety to employees and also provide a safe way to fulfill routine tasks and responsibilities. The facility of remote working is also beneficial in the new normal, and therefore, most companies are using it as a strategy and tool to increase the morale and satisfaction of their employees. However, the strategy also has some negative consequences, but there is a severe lacking of research on this issue, especially with respect to developing & Asian countries. Therefore, the major purpose of this research is to analyze the impact of remote working in the new normal on employee job satisfaction through serial mediation of employee relaxation and employee morale. Therefore, the data has been collected from IT sector SMEs from Pakistan, and analysis is made through SMART-PLS. The findings of the study indicated that SMEs are opting for the new normal strategy of working in order to optimize employee morale and increase the level of employee job satisfaction. However, further research work is optimal in order to understand the issue more clearly with respect to the SME sector in Pakistan.