Working From Home

The Allan Labor Government has proposed legislating a right to work from home (WFH) for eligible Victorian workers across both public and private sector workplaces. This would represent a significant shift from the current position under the Fair Work Act 2009 (Cth) (FW Act), which gives employers discretion to grant or refuse requests for flexible working arrangements made by eligible employees under circumstances specified in the FW Act.

Under the proposed reforms, Victorian employees whose roles can reasonably be performed remotely would have a legal entitlement to work from home two days per week, regardless of whether they are employed by a large or small business. The Government has not yet provided insight into what the “reasonableness” test will comprise and how it will be determined if an employee can reasonably perform their job from home.

The Government is expected to introduce the draft legislation into the Victorian Parliament in July 2026, with the reforms to be enshrined in the Equal Opportunity Act 2010 (Vic).

Key Dates

1 September 2026: the legislation will commence for non-small business employers.

1 July 2027: the legislation will commence for small business employers. The delayed commencement date is intended to provide businesses with fewer than 15 employees additional time to prepare and implement appropriate HR policies and procedures.

Although the details of the legislation remain unknown, it is thought that employees on probation will be exempt from the WFH rights for a period that is yet to be determined.

Practical and legal considerations

Some of the practical considerations and their legal ramifications that businesses, particularly small businesses, should address in preparation for the go-live of the WFH rights include the following:

• Commencing a review of all systems, policies, and procedures to ensure employees can work from home (WFH) effectively, efficiently, safely, and responsibly.
• Determining how the business will assess which roles can reasonably be performed remotely.
• Ensuring leaders and managers understand how to apply the new WFH rights consistently when making decisions affecting employees.
• Managing the physical and psychological safety of employees while they WFH. This may include conducting safety assessments of home office environments. Employers will remain responsible for the physical and psychological health of their employees even when they are working remotely.
• Developing processes to performance manage employees who WFH.
• Reviewing office space and facility requirements, including whether the current amount of office space and associated rental costs remain appropriate if employees are exercising WFH rights and attending the office on a staggered basis.
• Determining how the business will manage the costs associated with WFH arrangements, such as providing equipment and ensuring employees have an ergonomic workspace within their homes.
• Managing employees who may work across different time zones during WFH days (for example, between the east and west coasts of Australia).

If you need assistance with WFH policies and procedures in your workplace, our Workplace and Safety law team is here to help. For any and all workplace related matters that require legal advice or assistance, find our contact details here.