The literature reports that telehealth holds the potential to positively alter the health workforce, yet there is little evidence to support and substantiate this commonly held belief. This qualitative study examines the anticipated and realized effects of telehealth on health workforce concerns. The six themes examined include the distribution of expertise of health professionals, effect on skills base, recruitment and retention of health professionals, staffing of telehealth initiatives, appropriate use of health care resources, and other workforce outcomes. Twelve telehealth initiatives were selected for study - one from each of Canada's provinces and territories. Projects included eight consultation applications, two administrative information systems, and two community-based programs. A questionnaire guided the initial and 6-month follow-up interviews with project coordinators. The six themes were independently validated for accuracy, interpretation, consistency, and saturation. Positive effects from telehealth applications were reported in the theme areas addressing expertise distribution, skills base, recruitment/retention, and health care use. A wider range of responses was reported in the theme area addressing staffing. The need for training and informal support networks is stressed. Until telehealth is more widely diffused, the total impact on workforce issues will not be known. However, studies such as this illustrate that telehealth has the potential to play a key role in workforce issues, as well as in future health workforce planning, recruitment, training, and job sharing.