By Nanette Belice

MG204H - Dr. Higgins

March 19, 2001

Telecommuting is a work arrangement or form of employment in which employees "work one or more days each work week from home instead of commuting to a work place ( www.ucsfhr.ucsf.edu)." Currently, there are "12.5 million people telecommuting in the United States ( www.state.fl.us )" and with the increasing interest, both from companies and employees, the number of individuals who telecommute on a regular basis is expected to reach "15 million by the year 2003 ( www.hklaw.com ). "

Although the majority of telecommuting experiences are beneficial to companies and employees, telecommuting raises several difficult questions in a wide array of areas. Some aspects which companies are finding cause concern include: the decision regarding which positions are suitable for telecommuting, how accidents at home are covered by worker’s compensation, company supplied technological equipment, security of client information, and lawsuits involving discrimination.

One aspect of concern for many companies is the fact that the increasing telecommuting trend doesn’t necessarily mean everyone should work from home. "Working at home is more attractive today than ever before ( www.state.fl.us )." However, companies must have a set standard when determining which positions can telecommute and which positions must remain on-site. When determining the set of standards companies should keep certain factors in mind. Companies should consider the job description and the equipment needed to perform the job successfully. Furthermore, once a position is chosen for telecommuting, the employers should consider the employee and his or her ability to fit the mold of a telecommuter. Telecommuting employees have some very general job performance traits that may qualify them for a work-from-home position. Some of the more common traits include: a work performance that meets or exceed expectations, a full understanding of the operations in his or her department, and measurably high-quality production. Other personal traits such as level of motivation, dependability, interest in the job, ability to work without supervision, good organization skills, excellent time management skills, and a trusted relationship with his or her manager may also be considered ( www.state.fl.us .) Companies can sometimes eliminate positions when considering telecommuting simply by the nature of the job. For example, some employees, such as a front line supervisor, or a retail salesperson would not be as effective or successful working from home, mainly because they deal with direct communication between people. Most telecommuting situations involve solo professions that do not deal directly with other employees or the general public. Some examples of the ideal telecommuting candidate include financial analysts, real estate agents, accountants, writers, editors, data entry clerks, programmers, and researchers ( www.brandonpress.com).

The second concern for companies who permit employees to telecommute involves workers’ compensation. Workers’ compensation provides "a financial protection for employees who incur expenses resulting from job-related accidents or illnesses (Mondy 425)." In general, all companies must comply with the Occupational Safety and Health Act of 1970 (OSHA). "The purpose of this act is to assure a safe and healthful workplace for every American worker (Monday 461)." At the on-site workplace, inspections are performed on a regular basis to ensure that the workplace is safe and free from hazards. The stumbling block for companies utilizing telecommuters is that the home is not a controlled workspace. "OSHA will not inspect employees’ homes for compliance with federal safety standards, nor expect employers to do so (Aronoff 44)." Therefore, "although each claim is analyzed on a case by case basis, generally, at this time, claims by telecommuters seeking workers’ compensation are almost always dismissed (Brayman)."

The third aspect that companies should consider is who should be responsible for providing and maintaining the technological equipment necessary to perform the job. If the company provides equipment such as computers, telephones, answering machines with voice mail, and other high-tech items, then the company wants to be certain that the employees’ home owners insurance covers the items in case of fire, theft, or other damage (Brayman). The difficulty with this concept is that not everyone is a homeowner and not all individuals who reside in an apartment or single room opt to carry an insurance policy on their personal property. If companies allow the employee to provide their own equipment, then there is no means to ensure that the equipment is adequate, compatible, and productive. The employee would also be responsible for the maintenance and repair such items. "Most employees would not prefer the option of providing their own equipment, basically because it is cost-prohibitive for the employee and the level of equipment, in relation to the job itself, is determined by the company, not the individual (Brayman)." So, to insure compatibility and appropriateness, the company should provide the technological equipment for telecommuting employees.

The fourth problem, which ties in with the technological equipment, is the security of client information and the risk of information theft. Businesses are "legally responsible for both electronic and paper files related to business ( www.hklaw.com)." If an employee maintains client records containing confidential information and those records are stolen from the employees home telecommuting office, then the employee is considered to be engaging in illegal activity, in which, the company could be held liable for in a court of law. According to Nicole Goluboff, management specialist at BCI, Inc., the general rule-of-thumb is that "if you would be liable for your employees on-site, then you wouldn’t be less liable just because you have someone working off-site (Arnoff 53)." To avoid this situation, the company may opt to install a security monitor on the equipment that they provide for the employee. The employee should also be trained to make good-faith effort to secure confidential client information at home.

The final concern for employers pertains to lawsuits made by employees claiming discrimination. If there are more than 15 employees in a company, then the company must maintain a solid rationale as to why one employee gets to work from home and another employee is required to work on-site (Aronoff 46). In 1997, one woman filed a lawsuit against her employer alleging discrimination because she wasn’t permitted to work at home while other employees were permitted to work at home. She did not win the lawsuit, but in bringing the case to the forefront, "the court equated the company’s denial of telecommuting with the denial of promotions ( www.hklaw.com ). " Since there are no standards formulated in the law books regarding telecommuting at this point in time, the court relied on the current discrimination laws that pertain to the workplace." Lawsuits involving disabled workers have also come to the forefront even though telecommuting actually assists companies in complying with the Americans With Disabilities Act of 1970 by expanding "the utilization of disabled workers (Mondy 409)." Companies are more likely to tap into the disabled employee pool for telecommuter simply because the majority of homes that disabled employees live in are already in compliance with the ADA. Therefore, no further on-site accommodations are required, thus, saving the company money. The Equal Employment Opportunity Commission views telecommuting as a reasonable accommodation in its enforcement of the ADA. Telecommuting is ideal for the disabled worker, however, companies will still receive claims regarding discrimination in the future. Hopefully, there will be new laws set forth to protect companies who allow telecommuting (Brayman)."