Just as many businesses have finally settled back into regular in-office routines, a new issue is emerging across workplaces – employees asking to work from home again because of rising fuel costs. For many employers that we’ve been speaking with over the last 2 weeks, it feels like a step backwards.

Over the past two years, business owners have worked hard to re-establish office culture, improve collaboration, and get teams back into the workplace. Now, with petrol fuel climbing again, employees are starting to ask whether they can work remotely to save money on commuting.

So how should employers manage these requests, especially if the business has already moved away from widespread work-from-home arrangements?

Why WFH requests are increasing again

For employees who commute by car (which is most of the WA workforce), rising fuel prices quickly add up. For example, an employee travelling 30 to 40 minutes each way can easily spend $80 to $150 per week on fuel, depending on vehicle type and distance. When household budgets tighten, working from home can appear to be an easy solution to reduce costs.

However, from a business perspective, the situation is often much more complicated. Many employers have recently

  • Transitioned teams back to the office
  • Re-established in-person collaboration
  • Rebuilt client-facing service models
  • Invested in office space and infrastructure

Reintroducing widespread WFH arrangements can disrupt those improvements if not managed carefully.

Are employers required to allow WFH?

The short answer is no. An employee cannot simply decide to work from home because commuting is expensive. However, under IR Laws, certain employees may have the right to request flexible working arrangements, which can include working from home. This typically applies to employees who are

  • Parents or carers
  • Over 55
  • Living with a disability
  • Experiencing family violence
  • Caring for someone with a disability or illness

When a formal flexible work request is made, employers must

  • Consider the request genuinely
  • Respond in writing within the required timeframe
  • Only refuse on reasonable business grounds

Importantly, “reasonable business grounds” are quite broad, and many businesses have legitimate reasons to refuse WFH requests.

When is it reasonable to refuse a WFH request

For many businesses, working from home simply does not align with operational needs. Common legitimate reasons for refusal include

Operational requirements – The role requires physical presence to perform duties.

Customer service demands – Clients expect face-to-face interaction or immediate in-office support.

Team collaboration – The role requires close coordination with colleagues.

Supervision or training needs – Employees require oversight that is difficult remotely.

Impact on productivity or service delivery – Working from home may reduce efficiency.

Employers should document these reasons carefully when responding to requests. The key is to ensure decisions are reasonable, consistent, and clearly explained.

Managing WFH requests without creating workplace tension

Even when refusing a request, how you communicate the decision matters. Many employees are raising these concerns because cost-of-living pressures are real. Instead of dismissing requests outright, consider approaches such as

  • Explaining why the role requires office presence
  • Offering occasional flexibility where possible
  • Allowing temporary adjustments if operationally feasible
  • Being transparent about business needs

Employees may not like the outcome, but they are far more likely to accept it when the decision is clear and fair.

Don’t forget to check your fuel card usage policy

Another issue often overlooked during periods of high fuel prices is fuel card monitoring. When costs increase, businesses should be paying closer attention to how company fuel cards are being used. Some employers are surprised to discover

  • Fuel purchases outside expected travel areas
  • Personal vehicles being filled using company cards
  • Unusually high fuel consumption
  • Cards being used by multiple drivers

These issues are rarely malicious, but they can quickly become a hidden cost drain. Now is a good time to

  • Review your fuel card policy
  • Audit recent fuel transactions
  • Confirm which employees are assigned to each card
  • Clarify rules around personal use

With fuel prices increasing, even small misuse can significantly impact business costs.

The key for business owners

The reality is that fuel prices and cost-of-living pressures will likely continue to fluctuate. For business owners, the goal should not be reacting to every individual request, but instead having clear, consistent workplace rules. That means ensuring you have

  • A clear work-from-home policy
  • A structured process for flexible work requests
  • Transparent communication with staff
  • Monitoring of operational expenses such as fuel cards

Most importantly, employers should remember that flexibility is a business decision, not an employee entitlement (outside formal request circumstances). Handled correctly, you can maintain workplace structure while still responding fairly to staff concerns.

Many employers have spent the past year rebuilding workplace culture and getting teams back into the office. Rising fuel prices don’t mean those decisions suddenly need to change. But they do mean businesses should be prepared to manage requests properly, communicate clearly, and keep a close eye on operational costs.

If you’re unsure how to handle a request or want to make sure your workplace policies are up to date, we can help.