The Victorian Government has introduced legislation that would create a statutory right for many employees to work from home.

If passed, the Equal Opportunity Amendment (Work from Home) Bill 2026 would represent one of the most significant workplace flexibility reforms introduced in Australia. Rather than simply giving employees the right to request flexible work arrangements, the Bill proposes that eligible employees will have a legal entitlement to work from home unless it is unreasonable for them to do so.

Although the legislation has not yet been passed, employers with Victorian employees should start considering how these changes could affect their workplace.

What is changing?

The Bill proposes to amend the Equal Opportunity Act 2010 (Vic) by creating a new statutory right to work from home.

Eligible full-time employees would generally be entitled to work from home up to two days each week, with part-time employees receiving a pro-rata entitlement.

Importantly, this is not simply another flexible work request under the Fair Work Act. Instead, the proposed legislation establishes a standalone legal right.

Who would be eligible?

Not every employee would qualify.

The proposed legislation excludes several categories of workers, including:

• employees on probation
• apprentices, trainees, interns and graduates
• casual employees who are not employed on a regular and systematic basis
• employees who are already entitled to request flexible working arrangements under section 65 of the Fair Work Act
• certain regulated workers and prescribed classes of employees.

This means the legislation is aimed at employees who do not already have access to statutory flexible work rights.

How would it work?

An eligible employee would provide their employer with a written notice identifying:

• the days they intend to work from home;
• any specific times; and
• whether they intend to work somewhere other than their home.

Where it is not practical to specify particular days, the employee may instead identify the proportion of the week they intend to work remotely.

Employers would then have 21 days to respond in writing.

Can employers refuse?

Yes—but only in limited circumstances.

Employers must determine whether it is reasonable for the employee to work from home, taking into account only the matters specified in the legislation.

These include:

• the inherent requirements of the employee’s role;
• whether duties require attendance at the workplace;
• whether specialised workplace equipment is required;
• face-to-face interaction with clients or customers;
• workplace safety considerations;
• significant impacts on productivity or efficiency;
• supervision, training or professional development;
• customer service outcomes;
• confidentiality and data security;
• excessive financial costs; and
• whether accommodating the arrangement would require impractical staffing changes.

If working from home for the requested days is not reasonable, the employer may still be required to offer an alternative arrangement—for example, allowing the employee to work from home on different days or for fewer days each week.

Employers may also be responsible for costs

Another notable feature of the Bill is that employers would be required to pay the reasonable costs necessary for employees to work from home.

The explanatory material specifically refers to costs such as:

• essential equipment; and
• secure access to the employer’s information systems.

This obligation is likely to require employers to review their existing work-from-home policies and equipment arrangements.

New dispute resolution procedure

The proposed legislation would also expand the jurisdiction of the Victorian Equal Opportunity and Human Rights Commission and the Victorian Civil and Administrative Tribunal (VCAT).

Employees who believe their rights have not been properly recognised could pursue dispute resolution and, in some circumstances, Tribunal proceedings.

When would the changes commence?

If passed in its current form, the legislation would commence:

• 1 September 2026 for employers with 15 or more employees; and
• 1 July 2027 for employers with fewer than 15 employees.

What should employers do now?

The Bill is still progressing through Parliament and may change before becoming law. However, it signals the Victorian Government’s intention to make working from home a much stronger workplace entitlement.

Employers with Victorian operations should consider:

• reviewing existing flexible work and hybrid work policies;
• identifying roles where regular attendance is genuinely required;
• documenting the operational reasons supporting workplace attendance;
• reviewing technology and security arrangements for remote work; and
• ensuring managers understand how to assess work-from-home requests consistently and lawfully.

Planning ahead will place organisations in a much stronger position should these reforms become law.