a woman in front of a laptop, holding a phone, work from home
11. July, 2024

Work from home from the perspective of Labor Law

Occasional or permanent work from home, or outside the employer’s premises, is becoming a new reality for many employers. Besides the actual execution of work, the employer must comply with a myriad of legal regulations to properly and legally organize work from home. The most important aspects in this regard are compliance with labor law and workplace safety regulations.

Working from home is not only a legal issue but also raises and causes socio-psychological dilemmas.

Working from home has both positive and negative effects on employers and employees. Employees find it easier to organize their time, need less time to prepare for work, and can better balance family and work. On the other hand, the home environment can also have factors that are very distracting. Employers may notice an increase in errors due to communication issues. There is also a problem with the social aspect at the workplace, or the lack thereof when working from home.

This way of working also has a positive impact on the environment due to reduced traffic, less strain on critical infrastructure, lower living and business costs, etc. This can also be linked to lower employer costs in the case of commuting. However, it is important to emphasize that factors such as safety and health at work and the provision of work equipment present significant challenges for employers.

Working from home from the perspective of Labor Law

The Employment Relationships Act (ZDR-1) prescribes four obligations related to working from home:

  1. Conclusion of an employment contract with a provision or agreement that the employee will perform work from home, which is part of the employer’s activity or necessary for the performance of the employer’s activity for the entire duration or only part of the employee’s working time.
  2. The employer must notify the labor inspectorate of the intended organization of work from home before the employee starts working.
  3. Rights, obligations, and conditions dependent on the nature of work from home are arranged between the employer and the employee with an employment contract.
  4. The employee is entitled to compensation for the use of their resources when working from home, the amount of which is determined by the employee and employer in the employment contract.

The system of labor relations regulation also allows for the simplified assignment of other work or work at another location due to exceptional circumstances. Article 169 of the Employment Relationships Act (ZDR-1) regulates changes in work due to natural or other disasters.

In cases of natural or other disasters, if such a disaster is expected, or in other exceptional circumstances where the life and health of people or the employer’s property are endangered, the type and/or place of work specified in the employment contract can be temporarily changed. This change can be made without the employee’s consent. This applies only as long as such circumstances last.

Based on this regulation, the employer can:

  1. In the event of natural and other disasters or exceptional circumstances, and when
  2. The life and health of people or the employer’s property are endangered,
  3. Unilaterally, without the employee’s consent, assign other work and/or a place of work (e.g., work from home) as long as such circumstances persist.

The obligation is temporary, lasting only while the circumstances persist or conditions under Article 169 of ZDR-1 are met, and the change in the type or place of work is necessary.

Legal framework for working from home in ZDR-1

ZDR-1 regulates the employment contract for working from home among flexible forms of employment. This type of employment contract is regulated by provisions from Article 68 to Article 72.

Work from home is considered:

  • Work performed by the employee at their home or
  • In premises of their choice, which are outside the employer’s work premises and
  • Remote work performed using information technology.

Employment contract for performing work from home

For working from home, appropriate mutual consent, as defined in the employment contract, must be provided. The employment contract (based on which the employee will be able to work from home) must include the following mandatory components and specificities of working from home (Article 31, ZDR-1):

  • The place of work (whether at home or at a location chosen by the employee),
  • The distribution of working time (working hours, night work, breaks, daily and weekly rest can be arranged differently based on Article 157 of ZDR-1 compared to other employees),
  • The scope of work from home (whether for the entire duration of working time or only part of the working time, or only certain working days in the week, or the possibility of combining these methods),
  • The amount of compensation for the use of the employee’s resources.

These definitions fulfill Article 69 of ZDR-1, which explicitly states that the employment contract between the employer and the employee regulates rights, obligations, and conditions dependent on the nature of work from home. Thus, the employer defines only the most important elements in the employment contract. However, in addition to these key elements, other elements defined by the employer’s general act (work-from-home regulations) must also be specified:

  • The manner of ongoing agreement on performing work from home if the scope of implementation is not precisely defined in the employment contract,
  • Reporting by the employee on the use of working time,
  • Definition of work from home that falls within the employer’s activity or is necessary for the employer’s activity (definition possible in the act on systematization),
  • The manner of monitoring assigned work tasks and the employee’s results or reporting on them,
  • Work equipment and materials provided by the employee or employer,
  • The employee’s availability when working from home – when, during which hours, and in what manner the employee must be available to the employer and the employer to the employee,
  • Ensuring a secure connection to the employer’s network,
  • The manner of communicating information important for the execution of the employment contract (e.g., illness),
  • Obligations regarding safe and healthy work from home.

Prohibitions and sanctions regarding working from home

The prohibition of work from home as a measure by the labor inspector can relate to:

  • The organization of work from home and the performance of work from home must consider if it is harmful or poses a risk of becoming harmful to employees or the living and working environment. It also needs to address how protected categories of employees are handled.
  • Work that cannot be performed from home (Article 72, ZDR-1). There is no regulation specifying which work cannot be performed from home.

The Employment Relationships Act from the perspective of performing work from home foresees sanctions in cases:

  • When the employer does not notify the labor inspectorate about the intended organization of work from home (fine prescribed in Article 217.b of ZDR-1),
  • Violation of ensuring safe working conditions (fine prescribed in Article 217.a of ZDR-1).

If you need assistance in organizing documentation for working from home, we invite you to contact our experts HERE.