27 August 2026
Working from home may now be commonplace, but that does not make it simple or entirely risk-free. What can appear to be a straightforward agreement between a manager and an employee can bring Fair Work, work health and safety (WHS), performance, privacy, cybersecurity and documentation considerations with it.
For employers, the question is no longer simply, “Can this employee work from home?”
The better question to ask is: “How can we manage this arrangement lawfully, consistently and in a way that works for the business?”
The answer will be different for every role and workplace. What matters is having a clear process for reaching it.
This article was based on Episode 9 of TALKING PEOPLE! Watch the full episode here.
A request to work from home (WFH) may be an informal request, an arrangement offered under a workplace policy, or part of a formal request for flexible working arrangements under the National Employment Standards (NES). Identifying what you are dealing with matters because different obligations may apply.
Under the NES, eligible employees can request changes to their hours, patterns or location of work when they need flexibility for certain reasons. This can include pregnancy, disability, being aged 55 or older, caring responsibilities, or circumstances involving family and domestic violence.
Eligible full-time and part-time employees generally need at least 12 months of continuous service. Eligible casual employees also need at least 12 months of regular and systematic service, with a reasonable expectation of continuing on that basis.
A formal request must be made in writing and explain both the change sought and the reasons for it. The employer must respond in writing within 21 days.
Potentially, yes. But a formal flexible work request cannot be responded to with just a quick “no” or a blanket rule.
Before refusing an eligible employee’s request, an employer needs to discuss it with the employee. They also need to genuinely try to reach an agreement about alternatives and consider the consequences of refusal for the employee. A refusal must be based on reasonable business grounds and explained in the written response.
“Reasonable business grounds” depend on the circumstances. They may include excessive cost, an inability to reorganise other employees’ working arrangements, impracticality, a significant loss of efficiency or productivity, or a significant negative impact on customer service.
This is why a current position description is so valuable. It gives both parties a clearer, evidence-based view of the role’s inherent requirements. Does the employee need to greet clients, access specialist equipment, supervise an on-site team or perform work that depends on face-to-face interaction? Could part of the role be done remotely, or could an alternative arrangement meet both needs?
The process does not have to end with an all-or-nothing answer. A trial period, different days, adjusted hours or a partial arrangement may provide a workable middle ground.
A common concern is fairness. If one employee can work from home but another cannot, will that create resentment? In our experience, it can and it does. And this is just one of the many considerations employers have to think about when it comes to WFH and flexible work.
Consistency means assessing requests through the same fair, documented process. It does not mean every role or employee must receive the same outcome. An accountant may be able to perform most duties remotely, while a warehouse worker or physiotherapist will need to be physically present to carry out their duties. The assessment should focus on the role, the request and the operational impact, and not simply whether another employee has been approved or declined.
Managers should also be able to explain the reasoning. A blanket statement such as “we do not believe in working from home” is unlikely to build trust and may not satisfy the requirements that apply to a formal request. Clear communication helps employees understand how the decision was reached, even when the answer is not the one they hoped for.
When an employee works from home, the location changes. The employer’s duty to manage work health and safety risks does not disappear.
Employers need to consider risks to both physical and psychological health, so far as is reasonably practicable. A practical home-working process may include:
Psychosocial risks also need attention. Isolation, poor support, unclear expectations, excessive workloads and blurred boundaries between work and home can all affect wellbeing. A manager should know what to do if an employee does not sign in, stops responding or appears to be struggling. Ideally, they should not wait until the issue has escalated.
Working from home does not remove performance or conduct expectations. It can, however, expose gaps that were easier to overlook when everyone was in the same workplace.
Employees should understand what the arrangement means in practice. Are they expected to be available between set hours? How should they communicate the start and end of their day? What are the expectations for meetings, response times, breaks, output and attendance at the workplace? Can they take a short break to walk the dog or put on a load of washing, or is the role managed around fixed hours?
There is no single approach that suits every business. Some workplaces are primarily outcome-focused; others depend on coverage at particular times. The risk comes when the rules exist only in a manager’s head—or are applied differently across the team.
If performance concerns arise, address them early and manage them through the usual fair process. Avoidance allows uncertainty and frustration to grow. Clear expectations, regular feedback and good records give everyone a better chance of resolving the issue.
Remote work can move business information beyond the controls of the usual workplace. Employers should consider where employees take calls, how confidential documents are stored or destroyed, whether household members can see screens, what networks and devices are used, and how access is protected.
If monitoring software or other employee-surveillance tools are used, the business must also consider the privacy and workplace-surveillance requirements that apply in the relevant jurisdiction. Monitoring should never be introduced casually or without clear policies and advice.
At a minimum, WFH arrangements should connect with the business’s privacy, confidentiality, acceptable-use and cybersecurity policies. Employees should be trained in the practical behaviours expected of them. They should not simply sent a policy and left to interpret it to the best of their own ability.
Approval to work from an employee’s nominated home does not automatically mean they can work from a café, another state or another country.
Working from another location can introduce different risks relating to WHS, workers’ compensation, insurance, cybersecurity, privacy, payroll, tax, immigration and visas. Policies should define the approved work location and explain when further permission is required.
This distinction is particularly important when an employee wants to extend a holiday, relocate interstate or work overseas. Employers should assess the proposal before it happens—not discover the new location after the employee has already logged in.
A robust approach to working from home does not need to be unnecessarily complicated. It does need to be deliberate. Review whether your business has:
Working from home can support attraction, retention and employee wellbeing. It can also create operational and people risks when arrangements are informal, inconsistent or poorly documented.
The goal is not to say yes to every request—or no to all of them. It is to make informed decisions, communicate them clearly and put the right safeguards around the arrangements you approve.
If your business has informal working-from-home arrangements, outdated documents or managers who are unsure how to respond to requests, now is the time to review the foundations.
Now Actually supports businesses with practical, tailored HR advice and documentation for working from home and flexible work arrangements. If you need help assessing a request or strengthening your processes, get in touch with our team today.
This article is based on Episode 9 of TALKING PEOPLE! with Now Actually Founder and Managing Director Jenna Paulin and host Paul Jansz. TALKING PEOPLE! is an HR education series powered by Now Actually, sharing practical, people-first guidance for Australian employers.
