The Victorian Government has recently introduced the Equal Opportunity Amendment (Work from Home) Bill 2026, which proposes significant reforms to the Equal Opportunity Act 2010 (Vic) to enshrine a new, enforceable right to work from home. This right is set to commence on 1 September 2026.
The Bill represents a marked shift away from the current position under the Fair Work Act 2009 (Cth), where certain employees have a right to request flexible working arrangements in defined circumstances, subject to refusal on reasonable business grounds.
Eligible employees may work from home:
To exercise this right, an employee must provide their employer with written notice – a “work from home notice”. The notice must specify the days on which the employee intends to work from home, the specific times, and the location at which they intend to work (if the location is not their home residence).
The right to work from home applies to all Victorian employees that are ‘eligible employees’. Certain categories of workers are not eligible employees, such as:
The Bill clarifies that the new right to work from home does not prevent an employer from allowing an eligible employee to work from home for a greater period than 2 days per week, nor does it prevent an employer from allowing an employee who is not an eligible employee to work from home.
Where an employee is entitled to work from home, employers must cover ‘reasonable remote working costs’, including:
The requirement that costs are ‘reasonable’ is intended to mitigate excessive financial burden on employers. This requirement nevertheless introduces direct financial implications for employers and may require review of existing reimbursement or allowance policies.
Employers must respond in writing within 21 days to a work from home notice, stating whether they consider the arrangement to be reasonable.
An employer must allow the employee to work from home unless it is not reasonable for them to do so. In determining whether it is reasonable for an employee to work from home, the Bill sets out the following matters as the only things to be considered in assessing reasonableness:
Including whether those requirements can be satisfied on specific days or specific times:
In considering the inherent requirements of the role, regard must be had to safety, security, welfare or supervision.
Including whether the employee working from home on specific days at specific times would:
Importantly, employers cannot simply refuse a notice to work from home outright. If the proposed arrangement is not reasonable, the employer must consider and implement an alternative arrangement (including an equivalent or reduced period) where this is reasonable.
In practical terms, where the specific days or times proposed by the employee are not reasonable, but it would otherwise be reasonable for the employee to work from home for an equivalent or reduced period on different days, the employer is obliged to allow the employee to work from home on that alternative basis.
Any refusal response must include reasons as to why it is unreasonable for the employee to work from home.
As the new right sits within the equal opportunity framework:
VCAT will have power to order employers to allow an employee to work from home and to make orders requiring compliance with the legislation.
The Bill expressly provides that the right to work from home operates alongside, and does not limit, existing rights under Commonwealth law, including the Fair Work Act.
However, employees who fall within s 65(1A) of the Fair Work Act, such as carers and parents, seeking flexibility for those reasons and who are entitled to make a flexible work request under those provisions, are carved out from the new right to work from home under the Bill.
Employers should also be mindful of their obligations under the Occupational Health and Safety Act. Working from home may be considered a remote or isolated working environment which means employers should consider the risks associated with this type of work.
In practice, the Bill will significantly constrain the circumstances in which employers can limit work from home arrangements. Decisions will need to be justified by reference to a narrow and exhaustive set of statutory criteria, focused on inherent role requirements and operational impacts.
Employers will need to move beyond preference-based reasoning and ensure they can objectively substantiate any refusal, including by reference to productivity, supervision, safety, or client-facing requirements.
In light of the impending start date of the Bill, employers should begin considering:
The Bill is currently before the Victorian Parliament. Employers should monitor its progress and prepare for implementation ahead of September 2026.
Please reach out if you require tailored advice in relation to the Bill.
Michael leads the Maddocks Employment & Workplace team in Victoria and provides practical, strategic advice on industrial relations, enterprise bargaining, discrimination, contracts, disciplinary matters and protections claims.
View profileMeredith loves working with her clients to navigate a path through complex areas of law and delicate employment situations.
View profileKeep up to date with our legal insights and events
Sign up
Gender-based undervaluation changes to the SCHADS and HPSS Awards: key dates and actions for NFP employers
Regarding the Road Transport Contractual Chain Order – Fuel Cost Recovery 2026, the Fair Work Commission published...
We look at two recent decisions of the Federal Circuit and Family Court of Australia
Practical guidance for HR, safety and employment law professionals on using AI responsibly while managing legal risks.
Partner
Sydney