Because of the prolonged COVID-related travel restrictions, an increasing number of employers are receiving requests from their employees to work remotely, sometimes from another state or even another country. It is not just a question of whether an employee’s work can be performed remotely. Before saying “yes,” an employer must consider the legal and tax implications of such an arrangement. This article outlines issues employers should consider when an employee is expected to temporarily work from another state or a foreign country.
A recent decision from the Court of Appeals of New South Wales, Australia, illustrates the potential value of using a series of independent but “cascading” covenants to create options for enforceability of restrictive clauses depending on what a reviewing court may find to be reasonable.