Flextime, work from home (WFH), compressed workweek, shift work, job-sharing, part-time work, telecommuting, telework, hoteling, and snowbird programs are all flexible forms of work that are increasingly attractive to employees. But employers considering implementing one or more of these flexible forms of employment must be aware of a number of legal issues and the related federal and state statutes—including:
• equal employment opportunity compliance (nondiscrimination laws)
• wage and hour compliance (FLSA)
• benefits compliance (ERISA)
• workers’ compensation (state workers’ compensation statutes)
• occupational safety and health (OSH Act)
• disability accommodation (ADA)
• privacy and confidentiality (e-mail, phone, internet use)
• independent contractor/employee status (proper classification)
In Illinois, employers who wish to offer flexible work arrangements such as flextime, WFH, compressed workweeks, and other forms must comply with various federal and state regulations. Equal employment opportunity laws, such as Title VII and the Illinois Human Rights Act, require that these options do not discriminate on the basis of protected characteristics. Wage and hour compliance is governed by the Fair Labor Standards Act (FLSA), which mandates proper payment for overtime and minimum wage, among other provisions. Benefits compliance falls under the Employee Retirement Income Security Act (ERISA), ensuring that employee benefit plans meet certain standards. Illinois state workers' compensation statutes provide for compensation to employees who are injured while working, including those in flexible work arrangements. The Occupational Safety and Health (OSH) Act requires employers to maintain a safe working environment, which can extend to home offices in telecommuting arrangements. The Americans with Disabilities Act (ADA) mandates reasonable accommodations for employees with disabilities, which may include flexible work options. Privacy and confidentiality concerns, particularly with electronic communications, must be managed in accordance with both federal and state laws. Lastly, proper classification of workers as either employees or independent contractors is crucial to comply with tax laws and labor regulations. Misclassification can lead to significant legal and financial consequences.