Mandating two days a week working from home is a major shift for employers, and it is important to understand what the proposed changes could mean in practice. As discussed in my recent Ticker News interview and shared across my LinkedIn, Facebook, and Instagram channels, the question of whether working from home two days a week should be a legal right is now being debated at the Fair Work Commission, and the Victorian Parliament mandated two days a week last week.
Why is change happening?
The push for stronger work-from-home (WFH) rights is a direct response to the shift in employee expectations since the pandemic. Flexibility is no longer a perk; it is a key factor in attracting and retaining talent.
However, inconsistent practices and a lack of clear guidelines have left both employers and employees uncertain about their rights and obligations. The Fair Work Commission’s current test case, brought by the ACTU and other advocacy groups, aims to clarify what counts as “reasonable business grounds” for refusing WFH requests and could set a new national standard.
What could the new laws mean?
If the proposed legislation passes, employers may be required to offer eligible employees the right to work from home at least two days a week, unless there are clear, well-documented business reasons to refuse. Victorian legislation goes even further, requiring detailed documentation and extra protections for carers, people with disabilities, and other vulnerable groups.
Businesses will need to update their policies, train leaders, and ensure compliance at both state and federal levels.
Which law takes precedence?
In Australia, Commonwealth (federal) law generally overrides state law, but if the Victorian law offers greater protections for employees, businesses should adopt the higher standard. For employers, the safest approach is to comply with whichever law benefits employees most to reduce risk and demonstrate a commitment to workplace wellbeing.
Does this affect all businesses?
Absolutely. Whether you are a small business with just a handful of staff or a larger organisation, these changes will apply to you. There are no exemptions for small businesses, and all employers will need to review and update their flexible work policies and practices.
What should employers do now?
- Review and update your flexible work and remote work policies.
- Train leaders to handle requests fairly and document decisions thoroughly.
- Keep detailed records of all flexible work requests and reasons for any refusals.
- Monitor government updates and be ready to adapt quickly.
Final thoughts
As I shared on Ticker News and across my social channels, the move towards mandating two days a week of remote work is making compliance harder than ever for business, especially small business. Businesses will need to be proactive, turning legislative change into a talent advantage and setting themselves up for long-term success.
Want to discuss what these changes mean for your business? Get in touch or follow Blue Kite HR Consulting on LinkedIn, Facebook, and Instagram for ongoing updates.
This article draws on insights from my Ticker News interview and recent posts on LinkedIn, Facebook, and Instagram.
About the Author
Catie Paterson is the founder of Blue Kite HR, a Melbourne-based human resources consultancy dedicated to helping organisations build stronger workplaces through practical, people-focused HR solutions. With over 20 years’ experience delivering tailored HR strategy, culture and performance support across diverse industries, Catie combines commercial insight with down-to-earth advice to ensure businesses get the right people in the right roles at the right time. Contact Catie here.