That does not jibe with common usage I hear in the field, despite what Webster says.

For example, young startups frequently outsource CFO functions to someone up the street.

To be truly pedantic, your definition doesn't say remote workers, just foreign, without specifying their region. OP talked about local workers in contrast.

Not only does the definition not say I am wrong (it includes the thing I said) but I was speaking in context of OP's comment (about location)

So you complained about my lack of precision and to do so you lost even more and didn't actually understand the context.