Virtual international assignments have been greatly debated during the pandemic and many have experienced new mobility in working from anywhere. However, what are the implications for a company’s remote worker policy and how does this impact tax, payroll, HR and other benefits.
Those companies with established global mobility departments are positioned to assist and support assignees with their challenges with relocating to new countries for work. As a direct result of Covid, we have seen that this role has changed dramatically with the movement of employees being replaced by remote workers and new challenges that require a different kind of support such as healthcare, restrictions, government support and family care.
A remote worker is now defined as someone who will live and work in a jurisdiction that is different to the country where their company is located. Therefore a number of considerations will challenge global mobility departments in the future. These include:-
These are just a few of the considerations for departments to consider in the future and also to weigh up the cost and risk of such assignments. Allowing employees to work in another state such as in the US or some other countries will certainly create reporting obligations as well as other complexities so the company may choose not to opt for remote working at all as it may create a compliance issue for the business.
We advise clients to consider putting a policy in place at an early stage and seek advice on all the implications of permitting virtual assignments. Once the process is documentated it will be easier to communicate to employees as the nature of how people choose to work will change dramatically over time as people consider changing climates and locations they decide to work from in the future.
Please contact our team for further advice on +44 (0)1733 364040 or email at email@example.com