Workers Compensation Affected by Telecommuting
Telecommuting is a cost effective option for both employers and employees who value flexibility. However, telecommuting does bring up some issues and affect workers compensation. It creates much ambiguity regarding the employee and compensation and how laws dictate telecommuting employees. Laws regarding workers compensation state that compensation is given when the employer has authority over the worker and when the worker is injured on the employer’s ‘grounds’. Grounds are not restricted to the physical building anymore, they extend to the employee’s home or elsewhere where the employer has no control over dangers or risks the employee may encounter.
What are the limits to the employer’s accountability?
Permissible Transfer:
The employer should set restrictions on workers compensation accountability for telecommuting employees and agree upon a contract that gives the employee the role of a risk transfer worker or an independent contractor. The downside to this solution is that it does not benefit the employer or the employee and each contract is tailored to each telecommuting employee. Another solution is to classify the telecommuting employees as one group with a distinct contract. The telecommuting employees can be managed by a temporary, leasing, or personnel agency who would then be the employer of the employees. Benefits and HR problems may become an major issue. A bigger issue regarding the control of employee: The original employer will be responsible for the workers compensation if the agency fails to control the work, hire or terminate employees, or if the employee is working an a potentially dangerous work environment.
Constitutional Comprehension:
The employer can have the court specify the grounds such as a certain area within the employee’s home, the room where the employee does the employer’s work. The employee can inspect that specific home office and set restrictions on those grounds and agree upon compensation as long as the employee works only in that specific area of the house. The employer will not be liable for any injuries that result outside of the specified home office.
Hiring Employees:
The employer may choose telecommuting employees, such as motivated and responsible employees who have worked many years in the company. An experimental duration from one to three months would be ideal to minimize risks. If the telecommuting situation does not work for the employer and the employee, the employee can go back to the central area of work.
Authoritative Procedures:
The National Council on Compensation Insurance created a telecommuting classification code, 8871 Clerical Telecommuting Employees for most states. This code specifies the tasks and home office layout for the employee. This classification includes only clerical duties from the home office (sales people are not specified within the telecommuting employee code) and employees who work more than 50% of the time in the home office. Specific Clerical Office Duties under the classification code.
Creating a few regulations for telecommuting employees and compensation clears some issues, but not all uncertainties are eliminated. It is important that your business has New York or New Jersey workers compensation insurance, New York or New Jersey general business insurance, and risk management in case of any detrimental event. You may consult specialized agencies to help your company reduce its risks.
Telecommuting is a cost effective option for both employers and employees who value flexibility. However, telecommuting does bring up some issues and affect workers compensation. It creates much ambiguity regarding the employee and compensation and how laws dictate telecommuting employees. Laws regarding workers compensation state that compensation is given when the employer has authority over the worker and when the worker is injured on the employer’s ‘grounds’. Grounds are not restricted to the physical building anymore, they extend to the employee’s home or elsewhere where the employer has no control over dangers or risks the employee may encounter.
What are the limits to the employer’s accountability?
Permissible Transfer:
The employer should set restrictions on workers compensation accountability for telecommuting employees and agree upon a contract that gives the employee the role of a risk transfer worker or an independent contractor. The downside to this solution is that it does not benefit the employer or the employee and each contract is tailored to each telecommuting employee. Another solution is to classify the telecommuting employees as one group with a distinct contract. The telecommuting employees can be managed by a temporary, leasing, or personnel agency who would then be the employer of the employees. Benefits and HR problems may become an major issue. A bigger issue regarding the control of employee: The original employer will be responsible for the workers compensation if the agency fails to control the work, hire or terminate employees, or if the employee is working an a potentially dangerous work environment.
Constitutional Comprehension:
The employer can have the court specify the grounds such as a certain area within the employee’s home, the room where the employee does the employer’s work. The employee can inspect that specific home office and set restrictions on those grounds and agree upon compensation as long as the employee works only in that specific area of the house. The employer will not be liable for any injuries that result outside of the specified home office.
Hiring Employees:
The employer may choose telecommuting employees, such as motivated and responsible employees who have worked many years in the company. An experimental duration from one to three months would be ideal to minimize risks. If the telecommuting situation does not work for the employer and the employee, the employee can go back to the central area of work.
Authoritative Procedures:
The National Council on Compensation Insurance created a telecommuting classification code, 8871 Clerical Telecommuting Employees for most states. This code specifies the tasks and home office layout for the employee. This classification includes only clerical duties from the home office (sales people are not specified within the telecommuting employee code) and employees who work more than 50% of the time in the home office. Specific Clerical Office Duties under the classification code.
Creating a few regulations for telecommuting employees and compensation clears some issues, but not all uncertainties are eliminated. It is important that your business has New York or New Jersey workers compensation insurance, New York or New Jersey general business insurance, and risk management in case of any detrimental event. You may consult specialized agencies to help your company reduce its risks.