Look around any 21st century workplace and you're likely to see vacant work spaces. When you ask about the occupants, you learn that they work remotely at least one day a week. What was seen as a trend only a few years ago has become commonplace in most businesses. But the employee benefit of allowing employees to work remotely has potential risks to your organization.

Having a detailed remote work policy is a necessity, says a new executive report from RIMS, "Risk Management & Remote Work Policies." A detailed policy allows the organization to lay out parameters, guidelines and expectations of their remote workforce. In the report, RIMS board directors discuss the advantages and challenges posed by remote workers as well as the role that risk professionals should play in the policy's development for their organizations.

Data privacy and security issues

The report notes that among the advantages are cost savings for both the employer and the employee, better retention of talent and a wider pool of potential employees. Among the risks, confidentiality and privacy concerns are some of the most important. Although the major public cyber attacks on organizations have not stemmed from remote workers, the exposure exists. By involving the IT department in creating the policy, the organization can ensure that important details such as the way critical information is saved—on a shared and protected network as opposed to the remote employee's desktop, personal computer or a thumb-drive—are not overlooked.

Man-working-from-home-with-children-crop-shutterstock_83331583-Paul Vasarhelyi

Photo: Shutterstock/Paul Vasarhelyi)

In addition to concerns about productivity and employee management, the report highlights "social risk," that is, the alienation of remote workers from their colleagues and managers. When an organization has a non-uniform approach to allowing employees to work remotely, the organization may be exposed to employment practice liability and even accusations of discrimination. The report recommends establishing a structured communication protocol that could include daily or weekly meetings by phone or videoconference.

Workers' compensation concerns

For remote workers, another challenge risk professionals and human resource executives face is the challenge of determining whether a medical incident is a result of business activities and might require a workers' compensation claim to be filed or whether the incident was unrelated to the employee's professional responsibilities.

Most remote employees work alone from their homes or another remote location, and there usually is no witness to a fall, for example. Other workers' comp risks include carpal tunnel or back issues from using technology incorrectly or not having an ergonomic workspace. The report recommends establishing clearly defined procedures for reporting health issues and getting them resolved.

To obtain a copy of the report and learn more about the risk professional's role in developing a remote work policy, click here.

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