Title: Out of State Employees Hiring Policy
Effective Date: January 3, 2017
Revision Date: First version
Responsible Offices: Finance Operations and Human Resources
This policy applies to any employee (faculty or staff) of William & Mary and the Virginia Institute of Marine Science (hereafter the “university”) who works or lives (resides) outside of the Commonwealth of Virginia. This policy does not apply to applicants who currently reside out-of-state but who intend to move to Virginia if offered employment nor to Virginia-based employees whose job requires business travel for short periods of time outside of the state on a temporary basis.
Consultants and Contractors are not covered by this policy.
The purpose of this policy is to establish guidelines for the hiring of university employees performing work outside the Commonwealth of Virginia, and help the university comply with workers compensation insurance requirements and other state laws.
III. Policy Statement
The university recognizes the occasional need to hire or reassign an employee who will, due to the nature of a particular position or business need, reside and perform his/her work outside of the Commonwealth of Virginia.
Employees who work or telecommute outside of Virginia subject the university to other laws and may result in additional insurance and payroll requirements and costs (e.g., workers compensation, liability insurance, unemployment insurance, payroll tax withholding/reporting, administrative costs, and other reporting requirements to other states). As a result, the university reserves the right to determine in advance whether the university will permit an employee’s principal work location to be outside of Virginia.
Accordingly, departments or business units that wish to hire or reassign an employee to work or telecommute out-of-state or in another country on or after the Effective Date must seek and obtain prior approval following the procedure established in this policy (Section IV). As of the Effective Date, no employee can be hired or begin employment or telecommute outside of Virginia until this approval is received
A. Obtaining Advance Approval for New Hires or Transfers
University employees are subject to all employment-related laws of the state or country in which they work. State taxes, employment tax, and workers compensation provisions vary from state to state and foreign nations. University employees who work outside Virginia may also trigger additional compliance requirements besides those relating to employment. Therefore, the hiring or reassignment of employees to positions outside Virginia must be supported by an important university business purpose and not be merely an accommodation to the employee.
In order to facilitate the process, the hiring department must notify the university of any prospective employment arrangements involving university employees outside the state of Virginia as soon as possible, and no later than the specified deadlines, by submitting an written request to [[Employees-OutOfState]]. The written request shall use the form provided (see Section V) and explain the reasons and business necessity for hiring or assigning an employee to work outside of Virginia. The deadlines for submitting a written request are:
- For employees who will work or reside outside of Virginia but within the U.S., no later than 60 calendar days prior to the start date of out-of-state employment.
- For employees who will work or reside outside of the U.S. in another country, no later than 120 calendar days prior to the start date of out-of-state employment.
These deadlines are firm and are necessary to insure that the university is compliant with the related laws and regulatory requirements of the other state or country. Failure to notify the university within these timelines may result in financial or legal penalties to the university and a delayed start date for the employee.
The written request will be reviewed and are subject to the approval of the relevant Supervisor, Department Head, Dean/Director or Vice President, and Chief Human Resource Officer.
B. Obtaining Approval for Current Employees
Departments and business units must advise the Chief Human Resources Officer no later than January 20, 2017 of any employee who as of the Effective Date (January 3, 2017) is working or telecommuting in another state or country. In each instance, the Office of Human Resources must verify that the university is in compliance with the laws and regulations of such jurisdiction where the employee works or telecommutes and take such steps as may be necessary to bring the university into compliance. If the Office of Human Resources is not notified of employees who telecommute or perform work outside the Commonwealth of Virginia, and if it is later discovered that an individual is working or telecommuting outside of Virginia, such individual may not be able to continue working outside of Virginia.
C. Administrative Costs
The hiring of employees out of state may necessitate that the university retain the services of outside consultants to assure compliance and, in some cases, liability for employment and benefit related issues. These costs will be charged to the department. Failure to report out-of-state employees to the university in a timely manner may also result in the assessment of other penalties by the other state or country, which will also be assessed to the assigning department.
The choices of health and welfare benefit plans may be more limited for employees who work outside the U.S. For more information, please contact the Human Resources Office.
IV. Approval, Interpretation, and Amendment
This policy was approved by the Senior Vice President for Finance and Administration. The Chief Human Resources Officer in coordination with the Chief Financial Officer, interprets this policy and has delegated authority to revise or amend this policy.
V. Related Policies, Documents, and Forms
Form: Request to Approve Employee to Work Out-of-State
Telecommuting Work Agreement
Recruitment and Hiring Guide (for hiring of non-faculty employees)
Independent Contractor or Employee (Tax Office guidance)