Hi - if you do a search, you should be able to find quite a few posts around this.
As you appear to have picked up, there are risks in allowing this, particularly for extended periods and I think you need to alert your senior team that this appears to have gone on and the risks that places on the organisation.

There are issues around tax, plus GDPR and also IT security, but the often overlooked, but one of the most significant risks is employment law.

Many countries have laws that mean that people who are resident in that country and carrying out work, are covered by that countries' employment laws. The way i tend to explain it if manager's done understand is that an overseas company couldn't start employing people who live in the UK to do work for them remotely and only pay them £1 an hour - it would breach our minimum wage legislation.

In some countries the obligations on employers can be significant, for example Greece has rules around notice and severance payments that are more generous than the UK. In some countries the employer has to apply to a court before it can dismiss someone. Sometimes certain benefits such as private health care must be provided.

These rules only apply when they consider someone is 'resident' but there is no clear definition of this and if someone is staying with family and already have ties there, they could fairly quickly be considered to be resident.

An organisation i worked for previously sent a note out to managers saying that they needed to let us know anyone who was working overseas. We were also clear that extended working overseas was not permitted and whilst in certain circumstances, up to 3 months may be permitted, but only with prior approval via HR. IT , Legal and the Risk and Insurance team were then involved in making the decision

I hope that helps

Teresa, your response is really helpful. As you say each country has different laws. I am keen to know if companies consult with employment lawyers every time they have a request to understand laws in that country or by giving approval to 3 mths or less there is not alot of risk. Do you know if it matters whether the employee can legally work in the country they are requesting to work from or not? Ie they are a citizen of that country but resident in the UK?

In reply to Leanne:

Hi Leanne,

In addition to the comments by Teresa on employment law, you'll need to consider social security as well. For example, although the UK has a double tax treaty with India (183 day rule in any 12 month period will apply for tax), it doesn't have a reciprocal agreement in respect of social security contributions (so the standard 52 week rule will likely apply), where as Greece does as part of the Brexit arrangement. You'll need to complete an A1 form for social security contributions whilst the employee is posted to Greece.

As you have eluded to, the employee will need the appropriate right to work in that country to suit the duties they will be undertaking.

I'm unsure of the details of this case, but take a look at a blue card which could be useful for your worker in Greece, providing they meet the requirements.

In India, business visas (allowing for stays of up to six months in India on behalf of a non-Indian employer) and work visas (allowing for stays of up to one year in India) are the two most common types of visas in India. They're pretty easy to get and can be applied for online for about £100. I seem to remember the employee has to register with the local police station on arrival too.

On the plus side, I would say it was highly unlikely that a posted employee for 3 months would mean you were deemed to have a permanent establishment, but have a look into to ensure you're comfortable with the risk and consequences of that as well.

If when presenting to your senior team they suggest contracting as a means of bypassing the issues raised, don't do it! There's even more risk involved with misclassification!