{"id":8651,"date":"2021-03-24T15:39:57","date_gmt":"2021-03-24T15:39:57","guid":{"rendered":"https:\/\/affinityhrgroup.com\/?p=8651"},"modified":"2023-11-27T20:39:37","modified_gmt":"2023-11-27T20:39:37","slug":"out-of-state-employees","status":"publish","type":"post","link":"https:\/\/theworkplaceadvisors.com\/out-of-state-employees\/","title":{"rendered":"Out-of-State Employees"},"content":{"rendered":"

Among the many changes to \u201cbusiness as usual\u201d forced upon businesses during the COVID-19 pandemic is the reality of more employees working from home. Whether due to regulatory shutdowns or the requirement to self-quarantine or-isolate due to COVID-19 exposure or symptoms, many businesses have had to create solutions to allow employees to remote work in order to keep the business running. While numerous solutions were quickly implemented to react to the ever-changing pandemic, employees and employers are now realizing the longer-term implications of these remote work options. Employers are having to review and update normal employment procedures such as performance reviews and paid time off usage due to the new work-from-home reality.\u00a0<\/span><\/p>\n

However, employers who have employees who are temporarily working in a different state have even more implications to consider. Whether an employee usually commutes across state lines to come into the office or if they have had to temporarily relocate due to COVID-19 or financial considerations, employers need to follow employment laws in those states in addition to the state(s) in which the company is located. According to the <\/span>American Institute of CPA\u2019s<\/a><\/em><\/strong>, 47% of remote employees are unaware that laws vary by state and 70% did not know that working remotely may impact their tax filings.<\/span><\/p>\n

In normal circumstances, an employer who hires an employee living and working in a different state has plenty of time to set up state-specific Workers\u2019 Comp and unemployment insurance, file and pay state taxes, and learn the different employment laws. Given the emergency declarations and rapid decisions that had to be made during the pandemic, employers and employees are now realizing they have been subject to different laws this entire time.<\/span><\/p>\n

Some states are making temporary exemptions for employees working remotely due to COVID-19 circumstances while others are requiring proper taxes be paid, Workers\u2019 Comp and unemployment be maintained, and employment laws followed. Depending on where you and your employers are located, you may need to consider the following laws in the state(s) in which your employees are working to stay in compliance:<\/span><\/p>\n

Employment laws: <\/b>Every state has different employment laws. Any employer must follow the applicable employment laws of the state in which the employee works, even if they differ from the ones where the business is located.\u00a0 To further confuse what is applicable law, some state laws apply to all employees regardless of the number of employees in the state while others require a minimum number of employees working in that state to qualify. Here are some of the most common laws which differ state-to-state:<\/span><\/p>\n