How should employers compensate employees who must telework due to COVID-19 related reasons? (29 CFR § 826.10)?
The Department of Labor regulations clarify that telework is no less work than if it were performed at an employer’s worksite. As such, employees who telework for COVID-19 related reasons must record, and be compensated for, all hours actually worked. An employer does not have to compensate employees for unreported hours while they are teleworking due to COVID-19 reasons, so long as the employer did not know, and should not have known, about such telework.
The DOL encourages employers to be flexible in allowing employees to telework. As a result, the Department has said that employers are not required to count as hours worked all time between the first and last principal activity performed by an employee teleworking for COVID-19 related reasons. This rule incentivizes employers to allow more employees to telework. That being said, an employer must compensate an employee for all hours actually worked and which the employer knew or should have known were worked by the employee.
Last updated April 9
These materials are made available by Jackson Walker for informational purposes only, do not constitute legal or medical advice, and are not a substitute for legal advice from qualified counsel. The laws of other states and nations may be entirely different from what is described. Your use of these materials does not create an attorney-client relationship between you and Jackson Walker. The facts and results of each case will vary, and no particular result can be guaranteed.