The era of remote work is upon us: no longer are employers or employees required to work in the same physical location. Both employers and employees love the flexibility and convenience of remote work—but hiring out of state employees in Florida can open a company up to certain legal liability.
Whether you’re transitioning an employee to a new location or hiring from the nation’s top pool of talent, every state has different employment standards and laws. Falling afoul of the laws could land companies in hot water with the Department of Labor.
Instead of researching state employment laws every time you hire an employee in a new state, SixFifty’s solutions make the process easier. Our multistate employment tools take the time and expense out of employment law compliance. Here’s an overview of the challenges that arise when hiring in Florida—and how SixFifty can simplify your job.
Scenario 1: Employee works from home in another state
It used to be that moving to a new state often meant an employee would need to find new employment—or they were limited by where the company has satellite locations. Workers might move to be near a partner’s new job, to take care of family members, or simply to enjoy a new location. Today, employers may choose to retain those employees, even when they move away from the company’s headquarters.
Scenario 2: Hiring out-of-state employees in Florida
Alternatively, an employer may wish to hire new employees in a new state. If your company is registered in Georgia but your new employees live and work in Florida, you’ll need to adjust your policies to ensure they’re in compliance with Florida law. Even though the company’s located in Georgia, the employees are subject to Florida state protections. Employers are responsible for ensuring that their employment policies and practices are compliant.
Multistate Employer Registration Factors to Consider
In both of the above scenarios, employers need to pursue multistate compliance or risk being held accountable by the Department of Labor for failing to comply with state-specific employment standards. Compliance differs across all 50 states. To simplify the process, SixFifty has narrowed down multistate employer registration considerations to five core areas of focus.
Here’s what it looks like for companies hiring out-of-state-employees in Florida—or accommodating employees moving to Florida if there’s no established business nexus.
1. Florida Employment Registration
Florida’s employment registration process has a couple unique circumstances: first, employers have 90 days to get a certificate of existence in the state. Corporations are also required to file an annual report between January 1 and May 1 each year to remain “active.” Reporting new hires and registering for new insurance coverage is also required.
- Obtain a registered agent
- Obtain a certificate of authority in Florida
- Report new hire to the Florida Department of Revenue
- Register for unemployment insurance
- Report unemployment insurance account to payroll provider
- Obtain workers’ compensation coverage or update the policy
2. Florida Tax Registration
Assuming your company has an economic nexus in Florida, you’ll need to pay sales tax. A nexus can be established by a physical presence in the state or economic threshold, by having a certain amount of revenue or number of transactions in the state.
Once you have a single employee living and working in the state, you’ll need to collect and remit sales tax to Florida state.
- Register for a sales tax license or permit
3. Florida Required Employment Policies (April 2023)
Florida has seven state-specific employment policies which must be included in your employee handbook. Some, like meal and rest breaks, only apply to minors. Others, like domestic violence leave, are only for companies with a certain number of employees. Employers need to include all required policies and review to ensure other policies do not conflict.
- Civil Air Patrol Leave (15 Employees)
- Domestic Violence Leave (50 Employees)
- Jury Duty Leave
- Meal and Rest Breaks (minors only)
- Voting Policy
- Whistleblower
- Witness Duty Leave
4. Florida Employment Implications
Florida employment laws may vary from your home state. For instance, non-compete provisions are limited to six months, with certain exceptions. Employers also need to ensure that they meet the minimum wage, comply with any applicable overtime rules, and evaluate their insurance coverage for new Florida employees.
- Ensure that non-compete provisions comply with Florida law
- Confirm that the employee is paid at least the minimum wage
- Review the applicable overtime laws
- Confirm that the payroll practices meet the payment frequency standards in Florida
- Consider whether insurance extends coverage to employees in Florida
- Consider COVID-19 laws that affect the employee
5. Florida Signage
Finally, employers are required to post certain signage notifying employees of their rights. There are four state-specific signs which must be posted, but the state does not specify posting standards for remote workers. Generally, employers can post their signs in easily accessible areas online: in folders, on their website or on the company intranet.
- Post or distribute required signage
Simplify Multistate Compliance with SixFifty
The process of maintaining compliance can be complex and extremely nuanced for companies unfamiliar with Florida employment laws and standards. It’s why SixFifty has compiled an extremely useful tool for businesses hiring out-of-state employees in Florida. To simplify the process of hiring out-of-state employees in Florida or supporting remote employees on-the-move, check out our 50 State Hiring Kit.