Working remotely from another Southeast Asian country may seem simple, but it can expose employers to immigration, tax, data-security, and employment-law risks. David Smail, Partner and Head of Employment, Singapore at DLA Piper explains what businesses need to consider before approving overseas work requests.
For many employers, remote and hybrid work have become established parts of daily business. Employees may now expect to be able to extend a family trip, spend time in their home country, or work temporarily from a holiday destination, while staying in the same role, on the same payroll, and connected to the same systems.
A request can sound simple: Can I work from Bangkok for a few weeks?
Or: Can I spend two months in Malaysia while visiting family?
But the fact that an employee remains employed by a Singapore entity does not mean the arrangement is legally neutral. Once an employee performs work while physically present in another country, a range of local rules may come into play.
That can include immigration and work-authorisation requirements, personal and corporate tax exposure, the risk of creating a taxable presence for the employer, local employment-law protections, social-security obligations, data protection and cybersecurity rules, and even workplace health-and-safety responsibilities.
These questions are particularly important in Southeast Asia, where legal frameworks and enforcement practices vary materially between jurisdictions.
“One of the biggest...
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