‘For years we have needed a tax on remote workers – COVID has just made it obvious’
Should employees pay for the ‘privilege’ of working from home? A new report from Deutsche Bank seems to suggest so.
What We Must Do To Rebuild presents new ideas on how to help economies and businesses in a post-COVID world – taking into account how the pandemic has totally upended our working practices.
One of these revolutionary news notions is that remote employees could pay a ‘privilege tax’ for being able to work from home.
Writing in the editorial foreword of the report, Jim Reid, global head of fundamental credit strategy and thematic research, explained the proposal.
“Working from home will be part of the ‘new normal’ well after the pandemic has passed. We argue that remote workers should pay a tax for the privilege.
“Our calculations suggest the amounts raised could fund material income subsidies for low-income earners who are unable to work remotely and thus assume more ‘old economy’ and health risks.”
It’s an interesting idea – and a potentially viable way of giving back some much-needed cash. As more and more employees make the personal decision to work from their own homes, could we turn this into a way of boosting the global economy?
The research suggests a tax of five percent of the employee’s salary, if said employees choose to work from home when they’re not making forced to.
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“For years we have needed a tax on remote workers – COVID has just made it obvious,” added Deutsche Bank’s Luke Templeman.
“Quite simply, our economic system is not set up to cope with people who can disconnect themselves from face-to-face society.
“Those who can WFH receive direct and indirect financial benefits and they should be taxed in order to smooth the transition process for those who have been suddenly displaced.”
What do you think of this ‘remote working tax’? Tell us in the comments.