Should an Employee Be Able to Work From Anywhere?

The Covid-19 pandemic forced many employees to start the business day from home but also showed that anybody with a computer and the correct setup can work from anywhere.

To work and live abroad is the dream that many hold on to. Spending each day not in the confines of an office where your colleague is distracting you but on a shaded deck overlooking the sand and sea in a warmer climate.

Now that we are out of the most isolating and challenging period many have faced for decades, there is a clamour for something new. If we are no longer needed in the office and can work from home, why can that home not be outside of the UK too?

The Upside to Working Remotely Outside the UK

There are a few obvious reasons why employees are looking to relocate, or at least for some part of the year! After between two to three years of lockdowns, isolations and watching life pass us by during the pandemic, now is the perfect time to make up for what we’ve lost.

As employees, as long as you can provide the same work output, can work digitally and have a good internet connection, how is it different from working at home? Work video calls via Zoom or Microsoft Teams will remain the same. Hours may differ slightly depending on the time zone. But the productivity could skyrocket.

Employees often work to live because they need to pay the bills and support themselves and their families. But there is also often resentment there – as you’re only allocated so many days holiday per year.

But if you can work abroad spending your typical shift hours typing away and then spend the evening exploring a new culture, language, food experience or countryside, that’s the kind of experience that’s life-changing. Being allowed to work from anywhere would give freedom to the employee, which would be paid in kind back to the business with boosted productivity.

Other benefits could include:

• Lower cost of living
• Take a break from the hectic UK life
• Broadening your horizons by learning new languages
• Greater freedom and space to work harder

What are the Drawbacks?

While it sounds like a fantastic opportunity for an employee, the same can not always be said for the employer or even the employee (in some cases). Anytime spent outside of the UK working remotely can create a scenario where there is double taxation. The rules are different based on where you work and the duration of that stay. In most cases as a general rule, should you work 182 days of the year or less abroad, you carry less risk of double taxation. However, should you exceed that amount with 183 days or more in another country, it’s expected that you may face double taxation.

This can implicate yourself as the employee and your employer, who could potentially face social security (national insurance) costs too depending on where you’re working. For all situations where you do plan to work abroad, it’s best to get legal advice and explain to your employer to be clear and know where you stand from a legal standpoint.

GDPR – Where Do You Stand?

As you likely know, digital data is more important than ever. It’s the livelihood of any business and needs to be secure. Therefore, if you’re planning on working remotely abroad, what is the data privacy policy in place for the company that employs you? Will they allow data on their devices to be used outside of the UK legally?

How is client data handled and is the software the business uses eligible abroad? There are tons of considerations before any agreement is made to work outside of the UK, regardless of the duration. Understanding GDPR with the right training is more important than ever.

Other Considerations

You need to weigh the positives against the negatives. Before even beginning to contemplate the idea, it’s important to know if it’s something your boss or the owner of the business will consider. Obviously, it’s ideal if you work for a remote-only company that offers work from anywhere in the world as a benefit. Then you can pay tax and social security through your country of residence.

However, if you want to earn from a UK company and pay UK contributions and tax, you’ll need to understand the 182-day rule and get as much legal background information as possible to recognise whether it’s feasible.

Other considerations will include things like employment laws, what working visa you may need following Britain leaving the EU, as well as travel/health insurance, medical insurance and what legal obligations your employer has for your health and safety.

Working remotely from anywhere is a great luxury to have, but at the same time, it needs to be a practical decision – for all parties involved.