Remote work has reshaped the modern workplace. Millions now clock in from home offices, kitchen tables, or even while traveling, but this new freedom brings new questions. As a remote employee in 2025, your physical location may have changed, but your fundamental legal rights have not. Here’s what you need to know to protect yourself and your career.
Wage and Hour Laws: Your Time Is Your Money
Your location does not change how you are paid. Federal and state wage laws, like the Fair Labor Standards Act (FLSA), apply to remote workers just as they do to in-office employees.
- Overtime Pay: Non-exempt employees must be paid overtime for any hours worked beyond 40 in a workweek. For example, in a recent case, a remote data entry worker in Texas successfully claimed unpaid overtime by presenting time-tracking logs showing she worked late to meet deadlines. Your employer must have a reliable system for you to track all your work hours, even if your schedule is flexible or you log on outside of traditional hours.
- Minimum Wage: You are entitled to at least the federal, state, or local minimum wage—whichever is highest. This is based on where you perform the work, not just where your company is headquartered. For example, if you live in Seattle, a city with a higher minimum wage, your employer must pay you that rate—even if their office is in a state with lower requirements.
- Reimbursements: Some states, like California and Illinois, require employers to reimburse remote workers for necessary business expenses—think internet service, cell phone bills, or home office essentials. In California, a group of remote customer service reps won a lawsuit forcing their employer to cover monthly internet costs, underscoring how seriously some states enforce these protections.
The Home Office Is a Workplace
Your employer’s duty to provide a safe working environment extends to your home office. While a formal OSHA inspection of your home workspace is unlikely, your employer is still responsible for your well-being during work hours.
This often means providing ergonomic equipment or guidance to prevent repetitive strain injuries. Examples include adjustable chairs, laptop stands, external keyboards, and monitor risers. Many companies now offer stipends or direct shipments for ergonomic kits. If you develop wrist pain or back issues while working at home, you could be eligible for workers' compensation—just as if the injury happened at the office. In a recent case, a remote analyst in New Jersey received workers’ comp after developing carpal tunnel syndrome linked to poor home office setup.
If an injury occurs while you’re performing work-related duties (like falling down stairs while retrieving work documents), you should report it to your employer immediately. Prompt reporting protects your rights under workplace injury laws.
Anti-Discrimination Protections Are Universal
Federal laws protecting against discrimination based on race, gender, religion, age, disability, and national origin fully apply to remote employees. These protections cover all aspects of employment, from hiring and promotion to pay and termination, regardless of where you work.
Remote work has also introduced new potential for discrimination, such as "proximity bias," where managers unconsciously favor employees they see in person more often. For instance, a tech worker in Chicago filed a complaint after being bypassed for promotions given to in-office peers with similar qualifications. The company re-examined its policies and offered new guidelines on performance reviews and promotions to level the playing field.
Document your performance and contributions carefully—save copies of emails, reports, and completed projects. If you believe you’re being discriminated against as a remote worker, you can file complaints with the Equal Employment Opportunity Commission (EEOC) or your state’s civil rights agency.
The Right to Disconnect Gains Ground
The line between work and home life can blur when your office is always a few steps away. In response, a growing movement is pushing for "right to disconnect" laws, designed to protect employees from expectations of after-hours availability.
While no federal law exists yet, several states and cities are considering regulations, and some companies have instituted their own policies. In New York City, proposed legislation would impose fines on employers requiring after-hours emails or calls. Across Europe, countries like France and Spain have already codified the right to disconnect in national law, sending a signal that the U.S. could follow soon.
If you routinely receive work communications outside of normal hours, be aware of your local rules and your employer’s policies. Push for clear boundaries—such as muted notifications after hours—or request written policies that protect your downtime. These steps not only safeguard your well-being but also set healthy precedents for work-life balance.
Emerging Trends: Tax Implications and Cross-State Remote Work
Remote work brings a fresh set of tax complications, especially if you work in a different state than your employer.
- State Income Taxes: If you live in one state but your employer is located in another, you may need to file tax returns in both states. Some states have reciprocal agreements, but not all do. For example, if you live in New Jersey and work for a New York company, you may be subject to income taxes in both places.
- Local Taxes: More cities and municipalities are passing remote work tax laws that affect where tax is owed. It’s wise to consult a tax professional or use online resources provided by your state’s department of revenue.
Staying organized—tracking where and when you perform your work—will help you avoid tax headaches during filing season.
Negotiating Your Remote Work Agreement
Don’t just accept the first offer—remote work agreements are negotiable.
- Clarify Expectations: Make sure your job description and hours are clearly outlined. Are you expected to be online at specific times, or is your schedule flexible?
- Ask About Stipends: Many employers now offer stipends for internet service, office furniture, or even electricity bills. Ask what’s available—don’t leave money on the table.
- Consider Performance Metrics: Ask how your performance will be evaluated as a remote employee. Request regular feedback and clear objectives—ambiguous goals can lead to confusion and missed opportunities.
- Request Inclusions: Specify policies on time off, sick leave, parental leave, and technology support. The more details you address upfront, the smoother your remote work experience will be.
Know Your Rights
The legal landscape for remote work is constantly shifting. Staying current is your best defense.
- Review Your Employment Contract: Your offer letter and employee handbook should outline company policies on remote work, hours, and expense reimbursements.
- Check State and Local Laws: Your rights often depend on where you live. Visit your state's Department of Labor website for specific information, especially regarding wage, safety, and anti-discrimination laws for remote contexts.
- Consult Federal Resources: The U.S. Department of Labor and the Equal Employment Opportunity Commission (EEOC) provide comprehensive guidance on federal worker protections.
- Seek Professional Advice: Don’t hesitate to consult with labor attorneys or tax professionals if you have unique circumstances, like multi-state residency or disputes over reimbursement.