Work from Home: A Perk Today, an Entitlement Tomorrow?

| April 8, 2025

The Fair Work Commission (FWC) is continuing its work on a case aimed at introducing a standard Work From Home (WFH) clause into the Clerks—Private Sector Award 2020. This proposed change seeks to remove existing barriers to remote work, provide greater clarity for employers, and create a model that could influence other modern awards.

Following the FWC’s ongoing data collection and consultation phase, a full hearing is likely to occur in June 2025, after the annual wage review.

Background

The case was initiated by the FWC in September 2024 as part of its own-motion powers. The Commission’s goals are to:

• Create a model WFH term within the Clerks Award that can serve as a precedent for broader application across modern awards; 

• Eliminate outdated or unclear provisions that may prevent effective or equitable remote work arrangements; and 

• Address key areas such as definitions of WFH, overtime entitlements, privacy, surveillance, and workplace health and safety obligations. 

Key Developments So Far

To inform its review, the FWC has undertaken several research initiatives: 

• Employer and employee surveys: The FWC has engaged Swinburne University of Technology to conduct up-to-date research on remote work trends. 

• Data collection: This research builds upon earlier surveys conducted in 2020 to examine shifts in how WFH arrangements have evolved. 

• Employer vs employee perspectives: A key focus is to better understand how both parties experience and manage remote work in practice. 

Stakeholder Positions: Employers and Unions

Employee representatives, including the Australian Services Union (ASU), have advocated for the inclusion of provisions dealing with privacy, surveillance, and safety under WFH conditions. 

One of the key debates centres around whether the Award should contain a formal “right to request” WFH arrangements—similar to current flexible work provisions under the Fair Work Act 2009. This would give eligible employees stronger legal standing when seeking remote work. 

What This Means for Employers

Employers—particularly those with Award-covered staff—should start preparing for the possibility of standardised WFH terms being embedded into modern awards. Here’s what to consider: 

✔ Be prepared for Award changes: If adopted, the WFH clause could become a baseline requirement for Clerks Award employees and potentially extend to other industries. 

✔ Review your current WFH policies: Now is a good time to assess whether your arrangements align with evolving expectations around remote work, including employee monitoring, workplace safety, and entitlement management. 

✔ Stay informed and engaged: The FWC’s final position will be shaped by data, hearings, and submissions from stakeholders. Employers who wish to influence the outcome should ensure they participate or stay close to updates. 

Final Thoughts

The FWC’s working from home case signals a shift in how remote work may be regulated moving forward. What was once considered a discretionary perk may soon take on the form of a workplace entitlement for some employees. 

At IRiQ Law, we assist employers in preparing for changes in workplace legislation, including remote and flexible work entitlements. If your business needs help reviewing WFH policies or understanding your compliance obligations, contact our team today. 

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