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How to Stay Compliant While Hiring Remote Employees

The benefits of remote work are undeniable—employees enjoy added flexibility, report higher levels of satisfaction, and are even more productive.

The pandemic fast-tracked the workforce shift to distributed environments and as the economy slowly reopens, 74% of workers expect to continue working from home permanently. But transitioning to a remote environment isn’t as simple as mailing laptops out and upgrading your company Zoom account.

Welcoming new team members from afar has required companies to digitize their hiring with new processes like video interviewing and contactless onboarding. Building a multi-location team also exposes your company to brand-new employment laws and accompanying compliance risks.

Why? Location, location, location. Remote employees are subject to the employment laws of the state in which they work—not the state where the employer is located. In other words, HR teams must account not only for federal and local regulations but also the laws of any state in which an employee is working.

This presents a particular challenge for small businesses. While larger organizations may have entire departments dedicated to ensuring compliance, smaller businesses often lack the resources to guarantee adherence. Still, the penalties for noncompliance are substantial, including financial losses, security breaches, and a damaged corporate reputation.

Sound challenging? Fear not. JazzHR and Gusto teamed up to help you take the guesswork out of staying compliant while you grow your remote team. Follow along to identify the top recruitment categories you need to be aware of regardless of where your employees are based.

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