CCH reports that increasing financial strains on commuting employees are encouraging companies to reduce costs. Programs that minimize commute times can help attract and retain employees, while also saving costs for the companies.

"Telecommuting offers a win-win solution by reducing the amount of money employees spend on transportation costs, while at the same time allowing employers to reduce costs of their own," said Brett Gorovsky, employment law analyst at CCH.

Employees spend less money on transportation costs, while companies can expect cost savings in office overhead, increased productivity, reduced turnover and improved morale, explained Gorovsky.

Currently, over 22 million U.S. workers telecommute at least one day a week. The U.S. government could soon add to the number by allowing federal employees to work from home on a full- or part-time basis.

The report notes that the trend raises new legal concerns for employers, including wage and hour laws that can be more easily monitored with employees on site than at home. Further, employers must compensate for any overtime hours worked, whether or not they were approved by the employer.

Safety issues are also a concern for employers implementing telecommuting policies, as the Occupational Safety and Health Act (OSHA) requires employers to provide a safe workplace. While an amendment to the act states that home offices will not be inspected for safety, many companies are worried about liability hazards in home-offices.

"So far, the courts have not tried to expand employers’ liability to cover all the in-home injuries of telecommuters, even when they aren’t directly job-related, but this is an area to watch," Gorovsky said.

Many employers have instituted compressed workweeks instead of or in addition to telecommuting, reports CCH. The state of Utah recently implemented a four-day work week for 17,000 state employees, extending their workday from 7 a.m. to 6 p.m. for Monday through Thursday.

While telecommuting and compressed workweeks are the most significant ways to reduce commuting costs of employees, some companies alternatively offer carpooling or financial assistance for public transportation or gas costs.

Address: CCH, 2700 Lake Cook Road, Riverwoods, IL 60015; (800) 344-3734, www.cch.com.