In 2020, a leading e-commerce business began receiving remote work requests from employees on a regular basis. The company quickly realized they didn’t have appropriate policies, processes, or bandwidth in place to handle the requests. Unsure of where to start, they reached out to GTN for assistance. GTN worked alongside the company to build a global remote work policy and automated approval process that not only ensured employee and employer tax compliance, but also maintained a strong company culture and positive employee experience.
Looking for something specific?
As the future of work continues to evolve, providing a “positive employee experience” is top of mind for companies. While some organizations have gone back to in-office working arrangements, many have retained a full or partial remote workforce culture. These businesses see the provision of a flexible workplace as critical to not only retaining key employees, but also in recruiting top talent to fill essential job duties. And while this incentive is a benefit for the employee and employer, there are important duty of care responsibilities that need to be considered when you have a remote workforce.
Due to COVID-19 and the sustained impact, your company has made the decision to continue to allow employees to work from home going forward.
To you, the HR Manager, “home” means employees must work from the address on their paycheck, but to the employee, “home” just means they can work remotely from anywhere they choose. And some have chosen to work in another state for the next several months, while others have chosen to work in another country.
Your mobility tax provider informs you that your remote workers are potentially creating reporting and withholding tax risks and compliance requirements for themselves and the company when they work outside of their Home jurisdiction. You now realize you need to know exactly where everyone is working so you can begin to address any potential compliance risks that are arising.
As travel is slowly returning worldwide, and remote work is becoming truly remote, the key to having a successful remote workforce policy is to have a plan. Having an approach that essentially lets your employees freely choose where they work puts both the company and the employee at risk. And there are many risks ranging from health, duty of care, employee benefits, and insurance, to more operational aspects such as immigration, tax, payroll withholding, and social security. Below are some guidelines for how you can handle your traveling remote workforce.