New data reveals WFH laws risk driving jobs and investment out of Victoria
Victorian businesses are warning the State Government its proposed work-from-home legislation will increase costs, damage hiring and push jobs and investment interstate. New research reveals business concerns have escalated sharply since the policy was first announced. New Victorian Chamber of Commerce and Industry results show that while 77 per cent of businesses already allow employees to work from home, an overwhelming 80 per cent expect the proposed legislation to negatively impact their operations. The findings reinforce a message that Victorian businesses have delivered consistently since the policy was announced: flexibility is already widespread but legislating a one-size-fits-all right risks creating significant cost, complexity and unintended consequences. The results represent a significant deterioration in business sentiment since the Victorian Chamber and Committee for Melbourne first surveyed employers following the Government’s September 2025 announcement. In October 2025, 56 per cent of businesses said Victoria was harder to operate in than other states. That figure has now risen to 72 per cent. The earlier survey found more than one third of businesses would look to expand operations and hire staff outside Victoria if WFH legislation was introduced. The latest results show 47 per cent are now more likely to start, expand or invest outside Victoria, while 42 per cent are more likely to hire staff interstate. Additional survey results also found: 92 per cent anticipate additional costs from the legislation, including legal advice, policy development, technology, equipment, insurance, cyber security and compliance. Of businesses estimating additional annual costs, 25 per cent expect costs of $50,000 or more. 44 per cent say the new right would make them less likely to hire new staff based in Victoria. 47 per cent say it would reduce their willingness to employ younger or less experienced workers who may require greater training, supervision or mentoring. 72 per cent […]
