Employer Liability for Home-Based Work Injuries: What You Need to Know

The way we work has changed. Remote work is now a standard arrangement across many industries. But with that shift comes a new layer of legal responsibility for employers—specifically, employer liability for home-based work injuries.

In Australia, employers owe the same duty of care to remote employees as they do to those in traditional workplaces. If a worker is injured while working from home, the employer may be liable under workers’ compensation law, even if the injury happens during a break.

As an employer, you need to understand your obligations, the legal risks, and the practical steps to manage them.

What the Law Says: Home as the Workplace

In most Australian jurisdictions, workers’ compensation schemes apply a “no-fault” test. This means an employee may be eligible for compensation if an injury arises out of or in the course of employment—even if it occurs at home.

If the injury happens:

• During normal working hours

• While performing authorised duties, or

• During an authorised recess (e.g. a coffee or lunch break)

…it could be considered work-related.

➡️ Learn more from Safe Work Australia.

Recent Case: Tripping Over a Pet Gate at Home

In a 2024 South Australian case, an employee was working from home and tripped over a pet barrier during a coffee break. She suffered significant injuries and brought a claim for workers’ compensation.

The tribunal found in her favour, ruling the injury occurred during an authorised recess, which meant it was compensable. This case serves as a warning that home environments are not exempt from employer liability.

Employer Responsibilities: Duty of Care Still Applies

Under Work Health and Safety (WHS) laws, employers must provide a safe working environment, even for remote staff. This includes:

1. Conducting Risk Assessments

Employers should assess the employee’s home workspace and identify potential hazards. This may involve:

• A self-assessment checklist

• Photographs of the workspace

• A virtual inspection, if appropriate

➡️ Our Workplace Health & Safety team can help you prepare a compliant checklist.

2. Implementing Safe Work Policies

Your firm should have clear policies outlining:

• Suitable workspaces and ergonomics

• Acceptable break arrangements

• Incident reporting procedures

These policies should be reviewed and updated regularly to reflect the evolving legal landscape.

3. Training and Communication

Training remote employees is critical. Employers should educate their staff on:

• Safe workstation set-up

• Manual handling

• The importance of reporting near misses or hazards

Maintain regular check-ins to monitor employee wellbeing and address any WHS concerns.

Workers’ Compensation Coverage and Documentation

Many businesses assume that working from home limits their liability, but in reality, it may expand it. That’s why employers should:

• Confirm that their workers’ compensation insurance covers remote work arrangements

• Keep documentation of remote work approvals and risk assessments

• Actively consult with staff on workplace safety, as required under WHS laws

➡️ Need help updating your remote work policies? Contact our Employment Law team

Frequently Asked Questions

Is an employer liable if an employee injures themselves during a lunch break at home?
Yes, if the break is an authorised recess and the injury can be linked to the workday context, it may be compensable.

Does a home office need to meet the same WHS standards as a regular office?
Yes. While adaptations may be necessary, the underlying duty of care remains the same.

Can employers inspect an employee’s home office?
Yes, but only with the employee’s consent. Virtual inspections or checklists are often used to balance safety and privacy.