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 Indiana, employers offering 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 of the Civil Rights Act and the Indiana Civil Rights Law, require employers to ensure nondiscrimination in all employment practices. Wage and hour compliance is governed by the Fair Labor Standards Act (FLSA), which sets standards for minimum wage, overtime pay, and recordkeeping. Benefits compliance falls under the Employee Retirement Income Security Act (ERISA), which sets minimum standards for most voluntarily established pension and health plans. Indiana's workers' compensation statutes mandate coverage for employees injured on the job, which applies even in flexible work settings. The Occupational Safety and Health (OSH) Act imposes a duty on employers to provide a safe workplace, which can extend to home offices in telecommuting arrangements. The Americans with Disabilities Act (ADA) requires employers to provide reasonable accommodations to qualified employees with disabilities, potentially including flexible work options. Privacy and confidentiality concerns, particularly with electronic communications, must be managed in accordance with both federal law and Indiana's privacy laws. Lastly, proper classification of workers as either employees or independent contractors is crucial to comply with tax laws and employment laws, and misclassification can lead to significant legal consequences.