What Compliance Risks Should Employers Consider in Return-to-Office Policies?

Fully remote arrangements helped organizations survive lockdowns and remain popular with many workers, but mandatory “Return‑to‑Office” (RTO) policies can invite legal risk when employers ignore existing employment laws. Wage and hour rules, disability accommodations, poster obligations, and discrimination laws apply regardless of where people perform work. To ensure strong RTO policy compliance, employers need to understand how these rules apply differently across remote, hybrid, and on‑site models, draft clear policies, and communicate changes to staff.

Why RTO Policies Are Causing Legal Action

Remote work by itself is not a protected characteristic under U.S. law, but the reason employees request remote work often is.

• Protected categories: Employees with disabilities, pregnancy-related conditions, or caregiving responsibilities may require remote work as a reasonable accommodation.
• Discrimination claims: A recent New York case allowed an employee’s discrimination claim to proceed because she alleged race-based inconsistencies in remote work permissions. Under the New York City Human Rights Law, plaintiffs need only show they were treated “less well” than others due to a protected characteristic.

Several lawsuits show how inflexible RTO policies can backfire:

• United Labor Agency (N.D. Ohio 2023) – The Equal Employment Opportunity Commission (EEOC) sued a nonprofit for refusing to allow an employee with cancer to work remotely during radiation treatments. The suit alleged the employer violated the Americans with Disabilities Act (ADA) by denying a reasonable accommodation. The company settled the lawsuit with compensation and ongoing reporting requirements.
• ISS Facility Services (N.D. Georgia 2021) – The EEOC alleged a facilities‑management company discriminated against an employee with a pulmonary condition by denying remote work while allowing similarly situated employees to work from home. The case settled after the EEOC argued the employer failed to engage in the interactive process.
• Cowell v. Illinois Dept. of Human Services (2024) – An employee with lupus and chronic pain sued after her agency refused a remote work request. The court denied the employer’s motion for summary judgment because it was not clear that physical attendance was essential to her job.

These cases highlight that when employees can perform essential duties remotely, employers must engage in the interactive process, document decisions, and carefully evaluate office return employer obligations.

Key Regulatory Areas Impacted by Returning to the Office

Wage & hour compliance

• Reimbursing expenses: Federal law only requires reimbursement if expenses would lower pay below the minimum wage, but many states require paying for necessary remote work costs. Employers should check state rules.
• Tracking hours: Remote and hybrid work make hour tracking harder. Employers should require non-exempt employees to record start and end times and report all hours worked.
• State-specific rules: Pay and reimbursement requirements differ by state. Employees should keep their work addresses updated so employers can stay compliant.

Reasonable accommodation & ADA rules

• Considering remote work: Under the ADA and Pregnant Workers’ Fairness Act (PWFA), employers must consider remote work as a possible accommodation and talk with the employee to understand what they need. They can ask for medical information and should also consider other solutions, like schedule changes or assistive tools.
• When in-person work is required: If a job truly requires being on-site, employers should clearly explain why, such as needing in-person supervision or access to physical materials, and update job descriptions to show this.
• Legal risks are increasing: Requests for remote work accommodations and related lawsuits have grown. Employers should train managers using WorkWise Compliance’s Reasonable Accommodations E-Learning Training Program and follow new federal rules, including the 2024 PWFA regulations that mention remote work.

Safety & workplace posting requirements

Returning to the office means reviving obligations that remote employers may have overlooked. Employers must ensure office spaces are clean, ventilated, and comply with Occupational Safety and Health Administration (OSHA) standards. They must also display federal, state, and local labor law posters. HR Bartender’s interview with a compliance attorney explains that employers must provide mandatory notices to all employees — including those who work at home, off-site, or on the road. Some regulations do not dictate the format of notices, others do require notices to be certain sizes or colors, but employees need to receive the same information. For workers who use computers, electronic delivery of posters via an online platform that allows employees to download, view, and acknowledge receipt is the most effective method. In many situations, however, you are still required to display the same posters in physical form within the workplace.

HR Policy Updates Required Before RTO

Written RTO policy transparency

1. Establish Defined Return to Office Procedures

   Employers should ensure that all contracts or messages from themselves do not promise a permanent ability for employees to work from home/remotely. The RTO policy should be clearly defined in terms of what jobs/days require an employee to be in the office, how exceptions will be handled, and what will happen if an employee fails to follow these rules.

2. Keep Updated Job Description Information

   Employers must inform the employee of whether their position requires them to work in the office, in person by updating the job description and providing sufficient notice to the employee before changing the employee's work location.

3. Clarification of Hybrid Working Arrangements

   Hybrid structures combine the complexities of both remote and in-person work. To reduce hybrid work legal risks, employers must specify:

   • Required on-site days
   • Core hours
   • Rotation or desk-sharing schedules

Remote + onsite hybrid clarity

Hybrid arrangements combine the compliance obligations of remote and on‑site work. Employers should:

• Verify addresses and tax withholding: Remote employees may have moved at some point in time. Regularly recirculating policies that ask employees to confirm their home or work address ensures compliance with state wage and hour laws.
• Plan the workspace and equipment: After years of remote work, companies need to ensure they have enough desks, monitors, and equipment for returning employees. Hybrid workers who share workstations require scheduling to avoid overcrowding.
• Update expense policies: If remote work is optional, some reimbursements (e.g., home internet) may be discontinued, subject to state law. Employers in states with reimbursement laws must still cover necessary expenses.

Communication Requirements for Notice‑Based Compliance

Beyond drafting policies, employers must communicate changes effectively. Notice requirements vary by statute. Employers should distribute updated handbooks and policy templates to reflect RTO changes, provide digital access to labor law posters, and remind employees of complaint channels. Having employees sign acknowledgments that they received updated policies can provide evidence of compliance.

RTO Compliance Checklist

• Create a written RTO policy: Document the business rationale, on‑site expectations, and hybrid schedules. Clarify that policies apply consistently and how employees may request exceptions.
• Review employment contracts and offer letters: Ensure they do not promise permanent telework and that they reserve the right to change work locations.
• Update job descriptions: Clearly define essential functions and whether physical attendance is required.
• Engage in the interactive process: When employees request remote work due to disability or pregnancy, evaluate whether remote work is a reasonable accommodation and document the decision.
• Audit wage and hour compliance: Identify where employees live and work; confirm pay meets state overtime and minimum‑salary requirements; update time‑tracking procedures and require employees to record all working time.
• Review expense reimbursement policies: Ensure compliance with Fair Labor Standards Act (FLSA) and state reimbursement laws; reimburse remote work expenses when required.
• Update workplace posters: Display current federal, state, and local posters in each office and provide electronic access for remote and hybrid employees. Monitor changes and replace outdated posters to avoid fines.
• Train managers: Provide training on ADA and PWFA accommodations, time‑tracking rules, and consistent application of RTO policies.
• Prepare the workspace: Conduct safety checks, verify ventilation and cleaning protocols, and ensure there are enough workstations.
• Communicate and document: Send written notices explaining RTO changes, update employee handbooks, and maintain acknowledgment records. Provide employees with copies of updated policies and poster access.

Conclusion

Employers face real compliance risks when bringing employees back to the office. Clear policies, accurate job descriptions, proper accommodations, updated postings, and strong communication help prevent discrimination and wage violations. Careful planning and consistent enforcement are essential to avoid legal trouble.