Skip to main content

Insight article

July 19, 2023

Can a UK employee work abroad remotely?

Many UK employees are considering working abroad due to the rise of remote working opportunities and the desire for more flexible lifestyles. However, before employers consider agreeing to such an arrangement, they must understand the legal implications and potential challenges that may arise.

working abroad

Photo by Euan Cameron on Unsplash

Employer approval and communication

Before employees embark on working abroad remotely, they must obtain express approval from their employer. Employers should understand an employee’s intentions and clarify any concerns or expectations to ensure that the arrangement aligns with company policies, procedures and management.

Open and transparent communication is critical to maintaining a positive working relationship.

Whilst some cases may turn on their facts, any approach to remote working should be consistent and employees treated fairly.

Immigration and work permits

When working abroad remotely, it is vital to comply with that country’s immigration and work permit requirements. Accordingly, travelling to another country as a tourist and working remotely without the necessary permits may be illegal and have serious consequences.

Employers should research and take advice on the immigration regulations of the country the employee wishes to work from. Determine if the employee is eligible to work abroad remotely.

Tax implications

Working abroad, whether remote or not, may have tax implications in the UK and the country the employee plans to work from.

Tax residency rules and double taxation treaties come into play. An employer must understand its obligations regarding collecting and reporting tax if employees work abroad remotely.

These countries will have their own PAYE equivalent systems, and the employer will likely be responsible for correctly administering the employee’s tax payments and complying with any reporting obligations.

Failure to comply with tax regulations can result in penalties and legal issues. It is advisable to seek professional advice to understand the tax obligations in both jurisdictions.

Employment rights and benefits

While working abroad remotely, UK employees still retain their rights and benefits under UK employment law. For instance, such rights include rights relating to working hours, rest breaks, annual leave, and protection against discrimination.

It is crucial to ensure that remote working arrangements do not compromise these rights.

Employment contract and terms

Reviewing the employment contract and any relevant policies or agreements already in place is essential. Some employment contracts may contain specific clauses addressing remote working or working abroad. It is vital to understand the terms and conditions surrounding remote work, whether any geographical restrictions apply, and discuss these with the employee making the request.

Some employers reading this may take a proactive approach and review their employment contracts and policies in anticipation of requests from their employees.

Data security and privacy

Remote work requires careful consideration of data security and privacy. Ensure you have the necessary cybersecurity measures to protect sensitive company information and personal data. Employers should familiarise themselves with the data protection laws of the country the employee plans to work from and the UK to ensure compliance.

Each country has its cultural norms, legal system, and employment practices. Therefore, employers must invest time in familiarising themselves with the local customs, work culture and legal framework of the country where the employee will work.

Suppose an employee works abroad remotely for an extended period. In that case, they may acquire local employment rights even if the employer is UK-based. This situation might result in the employee having greater employment rights than colleagues working for the same employer. Such an imbalance could cause administrative difficulties and lead to employee inequality.

Conclusion

Employers must seek local legal advice on employees’ statutory rights, especially when terminating the employment relationship. In contrast, while working abroad remotely may seem enticing to employees, navigating the legal landscape and considering the necessary precautions are essential.

Understanding an employee’s immigration requirements, tax implications, and other legal considerations will help you make informed decisions and avoid potential legal pitfalls.

Open communication with the employee and professional advice from legal and tax experts is invaluable in ensuring a smooth and compliant transition to working, or not working, abroad.

Call Karen Cole today if you need advice on navigating overseas remote working or would like to review and update your employment contracts and associated policies.

Note: This article is not legal advice; it provides information of general interest about current legal issues.

Stay in touch

Subscribe to our newsletter

Stay in touch

By completing your details and submitting this form you confirm you are happy for us to send you marketing communications and that you agree to our Website Privacy Policy and Legal Notice and to us using Mailchimp to process your data.


Sending

News/Insight

  • Supporting neurodiverse people in family law matters
    Understanding neurodiversity in the legal context.


    Read more
  • Supreme court ruling on referees’ employment status
    In PGMOL v HMRC, the Supreme Court considered whether professional referees were self-employed. The case has the potential for far-reaching implications across the employment world.


    Read more
  • Business First Magazine
    Read our expert insights on key workplace and corporate issues.


    Read more
  • Why is clear contract drafting important?
    How simple contract clauses can protect your business.


    Read more
  • Ensuring equality: A legal guide to responsibilities and compliance
    Understanding equal opportunities in the workplace


    Read more

What they say...

  • Anon, April 2025
    “Whistleblowing dismissal claim and settlement negotiations I can not speak highly enough of this firm and [Patrick Simpson], they were not only understanding of my case needs they also worked with the up most integrity and professionalism to e

  • Patrick, April 2025
    “We had a long process handled by Charlotte & James from RIAA Barker Gillette. Even though we were outside the UK Charlotte & James we’re always available and we developed a great working relationship with them.They gave sound advice,

  • Leann Paris, March 2025
    “From the beginning to the end, the support we have received throughout the case with all the staff members has been far more than we expected, we got kept up to date with every single matter, I have had stressful few years but Charlotte and he

  • C Smith, March 2025
    “As executor of a will it was a relief for a solicitor to act on my behalf as though no disputes it was still a lengthy and complex process. It was dealt with mostly by Charlotte B. who kept me informed at all times. She explained the process c

  • Marc, March 2025
    “RIAA Barker Gillette were engaged to handle a real estate transaction with unusual circumstances. As a non-UK resident unfamiliar with English conveyancing procedures, I felt completely satisfied with the depth of the information and explanati

Read more
Send this to a friend