Victoria’s WFH law faces High Court hurdle

Work-from-home has devastated businesses supporting offices.

Victoria’s proposed work-from-home laws have been thrown into fresh doubt after constitutional lawyers warned the scheme could be rendered inoperative if it becomes law.

Independent legal advice obtained by the Property Council of Australia has cast doubt on the Bill, finding it is likely to clash with the Commonwealth Fair Work Act and could therefore be rendered invalid under section 109 of the federal law.

Constitutional law specialists Nick Wood SC and Leigh Howard went further, concluding the problem goes to the heart of the scheme and that the entire regime would be inoperative if enacted.

The proposed regime would give eligible employees a right to work from home for up to two days a week, subject to employers refusing requests on reasonable business grounds.

The Bill has passed the Legislative Assembly and is before the Legislative Council.

The legal warning comes as replacement Ben Carroll pushes to have the law passed while delaying the proposed commencement until July 1, 2027 (continues below).

Property Council Victoria executive director Cath Evans has called on the government to release any legal advice it has received on the Bill, arguing businesses need certainty rather than a new regime that could end up before the High Court.

For Melbourne’s office market, the legislation has been closely watched because a statutory two-day work-from-home entitlement could affect occupiers’ workplace strategies and the amount and configuration of office space they require.

The PCA’s most recent Office Market Report, released last month, puts Melbourne’s CBD office vacancy rate at 18.9 per cent.

Subscribe to our newsletter at the bottom of this page.

Share or Recommend article

Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of realestatesource.com.au.