Working from Home Employer Obligations

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Remote work has become increasingly common, therefore understanding California’s state and local laws regarding remote work arrangements is critical. California has specific laws and protections for remote employment to ensure that employers still comply with state and federal laws surrounding wage and hour rules, reimbursement requirements, and health and safety standards, even outside the traditional workplace.

Wage and Hour Laws

California’s wage and hour laws apply equally to remote workers as they do to employees working on-site. Employers must still comply with minimum wage, overtime, and meal and rest break rules.

• Overtime Pay: Non-exempt remote employees are entitled to overtime pay for working more than eight hours in a day, or 40 hours in a week. Employers must ensure remote employees track their hours accurately to prevent wage violations.
• Breaks: Even for remote employees, California mandates meal and rest breaks. Non-exempt workers must receive a 30-minute unpaid meal break if they work over 5 hours in a day, and a 10-minute paid rest break for every 4 hours worked.

Expense Reimbursement

One of the most significant aspects of California law affecting remote workers is expense reimbursement under California Labor Code § 2802. It can be an employer’s obligation to reimburse employees for necessary expenses incurred while working from home.

• Internet access and phone usage
• Office supplies and equipment
• Utilities proportionate to work use

The key is that these expenses must be “necessary” for the employee’s job duties, and employers are usually obligated to cover a portion used for work purposes.

Health and Safety Standards

Though remote workers are outside the physical office, California’s Occupational Safety and Health requirements still apply. Employers should ensure that a workers’ home office is a safe work environment and provide guidelines to prevent injuries related to improper workstation setups.

Worker’s Compensation for Remote Employees

Remote workers are eligible for worker’s compensation if they sustain injuries while performing job duties, even if at home. However, proving that the injury is work-related can sometimes be more challenging, making it essential for remote employees to document their workspaces and tasks accurately.

California Work From Home Reimbursement Laws

California’s reimbursement laws for remote workers are primarily governed by California Labor Code § 2802 and mandate that employers must reimburse employees for all necessary business-related expenses. This California employment law was designed to ensure that such employees are not financially burdened by expenses incurred while performing their job duties remotely.

Key State Laws for Remote Working

1. Necessary Business Expenses

Under California law, employers are required to reimburse employees for any necessary expenses that are directly related to the performance of their job. For remote workers, this can include:

• Internet and phone costs: Employees using their personal internet or phone for work must be reimbursed for a portion of those expenses attributed to work use. Employers do not need to cover the entire bill, but must pay for the percentage related to business needs.
• Office equipment and supplies: Any equipment like laptops, printers, or office supplies that are required for job performance must be reimbursed. In some cases, employers provide the equipment directly, but if employees have to purchase it themselves, they are usually entitled to reimbursement.
• Utilities: If working from home increases electricity or other utility costs, employees may be able to claim a portion of those bills that directly result from performing their job.

2. Proportionate Reimbursement

The law doesn’t require employers to give full reimbursement for bills that serve both personal and business purposes. Employers are only responsible for paying the proportionate share of those expenses. For example, if an employee’s internet bill is $100 per month and they use it 50% for work, the employer may be required to reimburse $50.

3. Reasonable Reimbursement

California law requires that the reimbursement be reasonable. Employers can negotiate a fixed stipend or allowance for remote work expenses, but it must cover the actual costs that an employee incurs for business purposes. If the stipend is insufficient, employees have the right to claim additional reimbursement.

4. Documentation and Proof

Employees may be required to provide proof of expenses, such as invoices or receipts, to claim reimbursement. Employers are encouraged to have clear policies outlining the process for submitting and verifying such claims.

5. Remote Workers’ Equipment

Many remote workers may already own the necessary equipment to perform their job. If an employee is asked to use their personal laptop or other equipment for work, the employer must reimburse a reasonable amount for its use or provide the required tools and technology.

Common Disputes and Challenges

While the law is clear about an employer’s responsibility to reimburse for necessary expenses, disputes can arise over what constitutes a necessary expense, or how much of the expense is attributable to work. If a dispute arises, employees can reach out to the employment lawyers at Lawyers for Justice, PC to get the compensation they deserve.

What Expenses Should My Employer Pay If I Work From Home – FAQ

does my employer have to pay for my internet if i work from home? According to state labor laws, California employees may be able to recover a portion of work-related expenses they incur, like internet, while working remotely.

do employers have to pay for internet when working from home california? A portion of the internet in an employee’s home office may be able to be reimbursed if their employer requires them to use the internet to complete their work duties.

what expenses should my employer pay if i work from home? Such expenses that many employees can ask for reimbursement to cover are things like: a portion of utilities, internet and phone services, and office supplies related to an employee’s job.

what labor laws apply to remote employees? Remote workers can still file workers’ compensation claims even if they work from home if they sustain injuries while performing job duties.

do companies pay for internet for remote employees? An employer can reimburse remote employees for such services as internet if the internet is required for them to complete their job duties.

are employers required to provide ergonomic equipment for remote employees? Typically, employers have the responsibility to ensure a secure work environment for remote employees, including giving them appropriate equipment, ergonomic setups, and resources to execute their job responsibilities safely.

does my employer have to provide equipment to work from home? Typically, work-from-home workforce arrangements require California employers to either reimburse, or provide equipment, for all business-related expenses that remote employees incur. Costs can include new workstations, wi-fi costs, supplies, and other expenses.

what employment laws apply to remote employees? The Fair Labor Standards Act (FLSA) covers all remote workers except those who qualify as exempt.

can hourly employees work from home? A remote worker should receive the same protections and rights as an on-site worker. California employers must ensure compliance for hourly employees working remotely, which includes meal and rest breaks, overtime, paid time off, and any other rights specific to their job.