The Victorian Government has confirmed it will legislate a statutory right for eligible employees to work from home, with major reforms taking effect from 1 September 2026. The government’s new laws will amend the Equal Opportunity Act and will apply to all employers in Victoria, including small businesses.

This is what you need to know.

What the New Laws Will Do

  • Enshrine a legal right to work from home up to two days per week: employees whose roles can reasonably be performed remotely will have a right, not merely a right to request, to work from home for up to two days weekly.
  • Apply regardless of business size: the government has ruled out exemptions for small businesses, which will affect up to 1.3 million Victorians employed in smaller enterprises.
  • Provide a delayed start for small employers: businesses with fewer than 15 employees will have until 1 July 2027 to comply.

Dispute Resolution Framework

Remote work disputes will follow a formal hierarchy:

  • Conciliation through the Victorian Equal Opportunity and Human Rights Commission (VEOHRC);
  • Disputes can be escalated to the Victorian Civil and Administrative Tribunal (VCAT) if unresolved.

The coming legislative change positions remote‑work access as a rights‑based issue under Victoria’s equal opportunity laws.

Industry Concerns

Business groups have expressed concerns about:

  • Increased compliance and operational costs;
  • Risks of job offshoring;
  • Loss of investment;
  • Regulator funding requirements;
  • Wage pressures from roles that cannot work remotely.

Small‑business advocates also warn of additional regulatory burden.

What Employers Should Do Now

Even with a staggered rollout, employers should begin preparing:

  • Identify remote‑capable roles: document which roles are “reasonably” capable of remote performance, and why.
  • Update remote work policies: include expectations around performance, communication, confidentiality, and occupational health and safety.
  • Strengthen technology and cybersecurity: ensure secure systems for remote access and data protection.
  • Train managers: provide guidance on balancing fairness, operational needs, and legal rights.
  • Prepare for potential disputes: have clear, documented processes for managing disagreements before they reach VEOHRC or VCAT.

Key Dates

  • Legislation introduced: July 2026
  • Commencement (15+ employees): 1 September 2026
  • Commencement (<15 employees): 1 July 2027

Businesses in Victoria will be required to comply with these changes while they are legislated and in place, until or unless they are successfully challenged and overturned, should this occur.

Stacey Brennan
Lawyer