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Synopsis of Seyfarth: As employers around the world reflect on what their organizations’ return to work will look like after the pandemic, one thing is certain: hybrid and remote working arrangements will be part of the new normal.
Creating a flexible and sustainable work environment requires consideration of almost every facet of business operations. From HR and real estate to health and safety and diversity initiatives, employers face a multitude of issues to consider when developing a hybrid and remote setting that responds to market demands, supports corporate culture and complies with the law.
In fact, the recent Future of Work Survey found that remote and hybrid work navigation was the main concern of internal legal and business leaders following the release of COVID-19.
Below are six tips to guide global employers in this emerging field:
- Correctly document working arrangements.
As employers begin to formalize hybrid and remote working arrangements, documenting the agreed upon workplace (s) is not only best practice, but may be legally required.
In particular, outside of the United States, changes to existing employment contracts may be necessary or, in some cases, entirely new agreements may be required. For example, in the last year and a half alone, new telework / remote work laws have been passed in Spain, Colombia and Mexico, among others, which impose specific employment documentation obligations in relation to with the working arrangements.
For new hires, consider incorporating a hybrid or distance working language into letters of offer and employment contracts. This not only ensures legal compliance where necessary, but also clarifies the expectations of working arrangement with new hires from the start.
- Be careful when considering cross-border telecommuting requests.
While the concept of being able to work from anywhere in the world can be appealing to employees, employers need to be very careful when considering such requests. Working cross-border raises a multitude of issues, from corporate and income tax implications, to work permits and data privacy considerations.
From an employment perspective, cross-border remote working may involve labor and social security laws / insurance mailings from both localities, potentially leaving an employer at risk of claims or fines if the laws appropriate were not taken into account. The ability to protect intellectual property and confidential information may also be affected in the event of a dispute over the law applicable to the employment relationship. To learn more about the management of cross-border teleworking, see our previous alert here.
- Understand the employer’s obligations regarding expenses for a work-from-home arrangement.
Employers must not only consider the impact on business costs of hybrid and remote work, but also understand the legal obligations related to expenses and equipment. In particular, employers should know what expenses for working from home are to be covered by the employer and what expenses must or can be reimbursed. Likewise, it is also essential to understand if the home office equipment is to be provided.
The eligibility of salaries and allowances, as well as their impact on other elements of remuneration, should be taken into account. In some jurisdictions, an allowance or allowance may need to be included in the calculation of other compensation such as bonuses, vacation pay and severance pay, which increases overall costs.
- Assess occupational health and safety issues specific to hybrid and remote work.
Working from home, whether on a fully remote or hybrid basis, introduces new and distinct health and safety considerations for employers. As a starting point, consider legal obligations. For example, some countries have health and safety requirements specific to the remote working environment, such as performing workspace audits or providing certain equipment.
Next, consider other health and safety issues such as employee mental health and well-being from a remote working perspective. While there may be health and wellness initiatives in place for office workers, consider how these initiatives translate to remote workers. For example, teleworkers may be more likely to feel isolated than those in the office. As such, mental health initiatives must adapt and evolve to reflect the wellness issues that employees may face in a flexible work environment.
- Ensure that diversity, equity and inclusion efforts take into account hybrid and distant working populations.
Diversity, equity and inclusion efforts remain a top priority for many employers. As flexible working arrangements become a more standard offering, DCI’s policies and practices must take into account the impact of hybrid and remote working. For example, consider how mentoring and leadership training programs are better structured and delivered to hybrid and remote workers and ensure opportunities for all employees, regardless of their work organization.
- Adopt hybrid and remote work as a recruiting tool.
Employees want flexibility and in the post-pandemic era; they will wait for it as an option. If hybrid and remote working becomes the new normal as expected, companies that develop a more comprehensive flexible work plan can take advantage of this internal framework as a tool to attract talent. Being able to offer not only the option of flexibility but also a thoughtful and holistic business approach will help distinguish companies as employers of choice.
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