I have been working in my present position in nonprofit fundraising fir an employer in California.

Cautious

August 28,2023 at 1:27AM UTC

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I have been working in my present position in nonprofit fundraising fir an employer in California. I work remotely from Michigan. My boss told me in June that our new HR v.p decided to end all telecommuting agreements for out of state employees beginning 8/31.. Apparenrly licensing agreement fir out of state employees are very expensive? I I was offered the option to move to California, but declined, that is a drastic life change. 49 people, including me, were hired during the pandemic. I love my job, am doing well in it, have a great relationship with my boss, and make good money. My boss just told me that they may have me stay on until end of September. I told her I would but that I also wanted to see if it’s possible for me to still stay on beyond that. My question is how expensive are those licensing agreements? Don’t you think an exception could be made if our president wanted to keep me on?

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CautiousAugust 28,2023 at 1:28AM UTC
I should also clarify that the “wants to relocate” part of my online introduction no longer applies. I have been a member of fairygodboss for years.
Annetta MosesAugust 28,2023 at 5:27AM UTC
Once a company makes a decision to end a licensing agreement, it is usually a financial decision. Since it will cost to hire new people in CA, it is likely that the option of keeping a few out-of-state staff was considered and rejected. Also, consider that the company wants to be fair and equitable. If an exception was made for you, the company could potentially face a lawsuit from other out-of-state workers who were terminated.
AnonymousAugust 28,2023 at 2:28PM UTC
Exceptions can always be made.
If they value you they will find a way.
CautiousAugust 28,2023 at 7:20PM UTC
Thank you, I know, I heard back the same things from my boss about how complicated it is.
AnonymousAugust 31,2023 at 12:40PM UTC
I am so very sorry. This might be a situation you cannot control. can you rent an apt in Cal. - one year lease- and try out the position there? worth a shot?
AnonymousAugust 31,2023 at 12:54PM UTC
This all depends on what the licenses are for. Is it for software? Is there some professional licensure that is required? I know that some software gets expensive to license in multiple sites, so each remote employee could be considered a "site" if they haven't made adjustments for remote workers, especially if the software is considered "mission critical," like CRM or accounting software.
As others have said, employment laws differ by state, especially regarding state and local taxes, so notice of termination, layoff, disciplinary actions, PIPs, and everything else HR-related is multiplied by 52 (if you include DC and Puerto Rico) in complexity if your company has remote employees in every state and those other areas. If there are 49 remote people in different states, how they handle this specific issue could differ (by state laws) for each one.
AnonymousAugust 31,2023 at 2:13PM UTC
There are state and municipal filings and fees/taxes that companies must pay based on where their employees live, and these add cost and complexity when you have remote employees if done properly. The easiest alternative for them would be to make you a contractor. If you want to go this route, make sure your rate includes costs for your health insurance and other benefits.
AnonymousAugust 31,2023 at 4:16PM UTC
No, you are sadly out of work. Definitely start looking now. Companies have to set up filings and tax etc. in each state that they do business in and need to have expertise there as well. I am certain that they will not do a one off for you. The pandemic is over and it's now back to office for many places so know that you are not alone here. But, it is what it is and I hope you find a new wonderful place to work with your bosses help and their rousing endorsement of your work in a letter and on linkedin. Good luck.
AnonymousAugust 31,2023 at 4:40PM UTC
I agree with the other posters, it appears you will be out of a job. The President saying they hoped to retain you until the end of September sounds like you may need to relocate or be separated by or end prior to that date. Good luck!
misskelleypAugust 31,2023 at 5:44PM UTC
I'm an HR Manager in a heavy multistate environment and I've never heard of "licensing agreements" to have out of state employees. Maybe this is something to do with your employer (are they a franchise?)? The issue is that they do have to open and maintain an Unemployment and Worker's Comp account/policy in each state where an employee is living/working, plus managing the tax withholdings for each state. But generally if they're using a payroll provider, that provider is handling those items. I'll agree there is a bit of a hassle factor, but it's not that much of a hassle. That said, the HR VP made a decision, it's unlikely you'll be able to change their mind, as they made that decision for a reason. Bummer for you. I do think it's worth a conversation with your boss, it certainly can't hurt. Good luck.
CautiousAugust 31,2023 at 7:07PM UTC
Thank you. Just had my final meeting with my boss. She agrees it’s a dumb decision but that’s the way it is. I am officially a job searcher after today.
misskelleypSeptember 1,2023 at 6:21PM UTC
So sorry to hear that. Good luck finding something that you will enjoy!
CautiousSeptember 2,2023 at 6:54PM UTC
Thank you.