FUEL CRISIS: Now your team want to work from home!
Fuel Prices Are Climbing… Now Your Team Wants to Work From Home
The fuel crisis is real and I have no doubt it is showing up inside your business.
Not on your P&L first — but in conversations with your team.
All of a sudden, you start hearing things like:
“Is there any chance I could work from home a couple of days a week?”
“Is there any flexibility at the moment?”
“Can we reduce travel a bit?”
And for most business owners, there’s an immediate tension that comes with that. You are trying to run a business, maintain performance, and keep things consistent. At the same time, your team is dealing with a very real increase in their day-to-day living costs.
So the question becomes: what are you actually required to do here, and what does good leadership look like in this moment?
The Legal Side — What You Need to Know
Under the Fair Work Act 2009, certain employees have the right to request flexible working arrangements, which can include working from home.
This typically applies to employees who are parents or carers ( who need flexibility to look after their kids etc), over the age of 55, living with a disability, or dealing with (or supporting someone dealing with) family or domestic violence.
The important distinction is this: employees do not have a right to work from home, but they do have a right to request flexibility.
When that request is made, you are required to genuinely consider it, respond in writing within 21 days, and if you decide to refuse, that refusal must be based on reasonable business grounds. Those grounds might include the inherent requirements of the role, a negative impact on customer service or productivity, or the fact that the work cannot be practically restructured.
This is not an area to handle casually. If the process is not followed correctly, the matter can be escalated through the Fair Work Commission.
So while you are not obligated to approve every request, you are absolutely expected to take each one seriously and respond appropriately.
Where This Starts to Break Down
Where I see most businesses struggle is not actually in the decision itself, but in how quickly and loosely that decision is made.
Some leaders default to a hard no without properly considering the request, often because it feels easier or more consistent. Others go the opposite direction and say yes without putting any structure around it, which creates a different set of problems down the line.
Both approaches miss the point.
This is not simply a policy decision about working from home. It is a leadership moment that will shape how your team experiences you.
This Is About More Than Location
When an employee comes to you with a request like this, it is rarely just about convenience. More often, it is a reflection of pressure they are currently feeling outside of work.
Fuel costs are up. Living expenses are up. For many people, that is creating genuine strain.
What they are really asking is whether there is any level of understanding or flexibility available to them in the middle of that.
From a leadership perspective, you have a few clear options. You can say no where there is a legitimate business reason, you can assess requests on a case-by-case basis, or you can create a more structured approach to flexibility such as a hybrid model.
The key shift is moving away from focusing purely on where work is done, and instead getting very clear on what outcomes and performance you actually require.
If You Can Offer Flexibility, There Is Real Upside
If the role allows for some level of flexibility, even in a limited capacity, this is an opportunity that is often undervalued.
When you respond well in moments like this, you build what I would call emotional equity with your team. You demonstrate that you understand what they are navigating and that you are willing to meet them part of the way, while still protecting the needs of the business.
In practice, that tends to show up as stronger engagement, greater loyalty, and a reduced risk of turnover. People are far more likely to go above and beyond when they feel considered and supported.
That does not mean removing standards. It simply means leading with both clarity and awareness.
Structure Still Matters
If you do allow working from home, it is important that it is done with intention.
That means being clear on which days are worked remotely, what performance expectations look like, how communication will be maintained, and when the arrangement will be reviewed.
Without that structure, flexibility can quickly become inconsistency, which creates frustration for both you and the team.
With the right structure, however, it becomes a tool that supports both performance and retention.
Final Thought
You are not running a charity, and you are not expected to absorb every external pressure your team experiences.
However, you are leading people, and moments like this tend to reveal the quality of that leadership.
Handled poorly, they create friction and disengagement. Handled well, they build trust, loyalty, and a stronger team over time.
The goal is not to choose between empathy and performance. It is to hold both.
Need a Hand With This?
If you are starting to get these requests and are not sure how to handle them properly, this is exactly the kind of thing we work through with business owners.
We help you put the right structure in place so you can respond confidently, stay compliant, and keep your team engaged without compromising the business.
If you want a second set of eyes on your situation, you can book a quick call below: