- Published
For many employers, the shift to remote and hybrid work has been one of the most significant workplace changes of the past decade. Now, Victoria may be about to take workplace flexibility a step further.
The Victorian Government has introduced proposed legislation that could give eligible employees a legal entitlement to work from home for up to two days per week, creating one of the strongest workplace flexibility frameworks seen anywhere in the world.
If passed, the reforms would shift working from home from a request-based arrangement to a presumed entitlement, requiring employers to justify why workplace attendance is necessary.
When Could the Changes Take Effect?
- 1 September 2026 for employers with 15 or more employees
- 1 July 2027 for small businesses with fewer than 15 employees
Why Employers Should Pay Attention
The proposed legislation is about much more than where employees perform their work.
If passed, businesses may need to carefully consider:
- How workplace attendance requirements are determined
- Whether certain roles genuinely require in-person attendance
- How employee performance is managed in hybrid environments
- Training and supervision arrangements
- Collaboration and team engagement
- Confidentiality and data security obligations
- Work health and safety responsibilities for remote workers
For many employers, these considerations already form part of their hybrid work arrangements. However, the proposed reforms may require businesses to formally document and justify decisions that have traditionally been treated as management discretion.
Could Employers Refuse Work From Home Arrangements?
Potentially, yes.
However, under the proposed legislation, employers may need to demonstrate that working from home is not reasonable due to factors such as:
- The nature of the employee’s role
- The need for direct supervision or training
- Customer or client service requirements
- Productivity impacts
- Workplace safety considerations
- Data security risks
- Significant operational or financial impacts
This means employers may need to move beyond broad workplace policies and instead assess individual roles and circumstances more carefully.
What Could This Mean for Businesses Outside Victoria?
Although the proposed reforms apply only to Victoria, employers across Australia should pay attention.
Workplace flexibility continues to evolve rapidly, driven by changing employee expectations, labour market pressures and advances in technology. The proposal reflects a broader trend towards increased workplace flexibility and may influence future discussions around remote work rights in other states and territories.
Whether or not similar legislation is introduced elsewhere, many employees now view hybrid work arrangements as a standard workplace benefit rather than a temporary response to the pandemic.
As a result, employers in every state may face increasing pressure to offer greater flexibility in order to attract and retain talent.
How Businesses Can Prepare Now
Employers can take practical steps now to prepare for potential changes by:
- Review Existing Policies: Ensure flexible work and hybrid work policies are current, clearly communicated and aligned with business needs.
- Identify Attendance-Critical Roles: Consider which positions genuinely require employees to be physically present and document the reasons supporting those requirements.
- Assess Technology and Resources: Review whether existing systems, equipment and cybersecurity measures can effectively support remote workers.
- Review WHS Obligations: Employers remain responsible for providing a safe work environment, even when employees are working remotely.
- Train Managers: Managers should understand how to assess flexible work arrangements consistently, fairly and in accordance with legal obligations.
Whether or not the legislation proceeds, workplace flexibility is likely to remain a key employment issue for years to come. Businesses that review their policies and workplace practices now will be better positioned to respond to future changes.
Need Help Reviewing Your Workplace Policies?
The team at Edwards HR can assist with reviewing workplace policies, advising on flexible work arrangements and helping employers prepare for emerging workplace relations developments.
