Remote employees bring enormous benefits to an organization, like expanding, attracting top talent, and saving on overhead expenses that usually accompany a location-dependent workforce. But employing remote workers also comes with its own set of legal implications that remote leaders must consider, which is why it is crucial for staffing businesses to secure staffing insurance solutions and consider the bigger picture when working with these employees.
Hiring & Interviews
Simple job postings and interviews can put a business at risk for legal ramifications—even for remote employees. Job postings should be free of language that implies that a certain type of class of people will not be considered, such as saying you are looking for candidates who are young and active on social media.
Age may come up in remote teams when a candidate is outside the range of the majority of employees in the organization but it is unacceptable to ask certain questions, such as if someone will feel comfortable working with people who are not the same age.
Race, ethnicity, or religion, gender, disability or family status discussion can also be problematic. Make sure that everyone involved in the hiring process understands the laws around hiring and interview practices.
Privacy & Security
Consider all the sensitive information employees have access to and submit over wireless networks. Everyone in the organization, including those who work from home, must understand business privacy and security policies. It’s up to organizational leadership to make sure there are systems in place for making sure those policies are enforced by everyone in the organization.
Payroll
With remote workers in multiple states, compensation in accordance with the laws in those states is crucial. You and your payroll provider should know the following to comply with each state’s regulations:
- Minimum wage
- Information that needs to appear on paystubs
- Payday frequency requirements
- Paycheck delivery requirements
- Payroll deduction requirements
- Overtime calculation
- Payroll tax calculation
Assign these oversight duties to at least one person or department in your organization and secure.
International Employment Laws
If you hire out of the country, you must comply with the employment and labor laws in those locations. Depending on your situation and what country your employee lives in, your organization may or may not have to register in that country.
Check with your HR department or hire a consultant to see how international employee situations are currently handled.
Health & Safety
Just because remote workers are not physically present at one central workplace, does not mean that your organization does not have to comply with health and safety legislation. Employers are responsible to identify any potential hazards that may come with remote work.
Implement measures to control and mitigate risk by reviewing hazards with employees to ensure that risks and control measures are adequate. Establish a system for reporting and investigating injuries, illness, or other incidents that can occur due to work activities.
About World Wide Specialty Programs
For the last 50 years, World Wide Specialty Programs has dedicated itself to providing the optimal products and solutions for the staffing industry. As the only insurance firm to be an ASA commercial liability partner, we are committed to that partnership and committed to using our knowledge of the industry to provide staffing firms with the best possible coverage. For more information about Staffing Professional Liability Insurance or any other coverage, we have available to protect your staffing business, give us a call at (800) 245-9653 to speak with one of our representatives.