When it comes to remote work, everything changed in 2020.
You know how it happened.
The pandemic struck and employers who werent already allowing remote work were forced to do so.
Looking for a remote job? We update ourwork-from-home job portalwith new opportunities every weekday.
The pandemic continued and employees continued to stay at home.
Thats because of state restrictions surrounding remote work.
So why do some remote jobs have state restrictions?
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Unfortunately, these location requirements arent uncommon.
Only about 5% of theremote jobs featured on FlexJobshave zero state restrictions, Reynolds said.
These are the main reasons companies cant or wont hire remote workers from every state to work at home.
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1.
State Taxes and Legal Requirements
Employers have to jump through more governmental hoops when they hire out-of-state workers.
Theyll also need to check that theyre following the correct procedures for each states labor and unemployment agencies.
Reynolds said this is one of the biggest reasons for state hiring restrictions.
And, like everything else, employment tax laws vary by state even city.
In addition, companies also have to provide workers compensation and unemployment insurance for every employee.
Those programs are run by states, and they can vary a lot.
In addition, jobs like medical professionals, lawyers and teachers require in-state certification or licenses.
Some states also require remote employees to have ahome occupation permit.
Companies looking to hire out-of-state workers could encounter myriad local city or county laws governing such permits.
Workplace Regulations
This might sound weird, but its a big one.
Workplace regulations dont necessarily mean the office needs a break room.
And is the break paid or unpaid?
For companies to hire remote employees across different states, theyd have to comply with those individual laws.
California is an example of a state with more stringent laws regarding the work space.
Each state does that independently, Reynolds says.
So its a huge maze to wade through for employers who want to bring people on in different states.
Other Job-Dependent Reasons
There are other factors why companies might hire for work-from-home-jobs only from certain states.
Reynolds has noticed some companies requiring remote employees to be near a large airport if its a travel-intensive job.
Time zones can create more logistical challenges.
A daily standup meeting that occurs at 8 a.m. ## Which Companies Arent as Likely to Face These Restrictions?
Most of them lie at two ends of the spectrum: new startup companies and large corporations.
Many companies starting out are willing to hire remote workers in any state.
On the other hand, there are the large corporations that need a robust remote workforce to function.
They often have huge internal HR and legal teams that can handle national and international work-from-home regulations.
What to Do if the Remote Job You Want Has State Restrictions
Dont gettoodiscouraged.
Reynolds encourages you to still apply to your dream remote job.
The primary advice from hiring employers?
Youll already be in the system.
Also see if you’re free to sign up for job email notifications.
Depending on the company, it will update you if the state employment laws have changed.
Robert Bruce is a senior staff writer at The Penny Hoarder covering earning, saving and managing money.
He has written about personal finance for more than a decade.
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