Thank you for the information and your question. There is no law that says that an employee may not work from home
while on OFLA. However, there could be circumstances when it could raise issues about the need for the leave. In other words, depending on the reason for the OFLA, any kind of work, even from home might indicate that the leave is not legitimate. But to focus on the direct issue here, the "at home" employer, unless she has a contract that states otherwise, she is an "at will
" employee. That not only means that the employer can let her go for any, or no, reason and with no notice or warning, but also that the employer can set their own terms and conditions of employment. However, an employer cannot intentionally target an employee for an adverse employment action simply because that employee is disabled (temporarily or permanently.) So, the employer's policy must be neutral or be directly tied to the employee's ability to do their job.
I can't say whether or not the employer has a neutral policy, or even what exactly it is, but your wife will want to see exactly what it says. If she is concerned that they are letting her go because she is on medical leave, then she will want to speak to a local employment law
attorney about her case in detail to see if she might have a cause of action.
Please let me know if you need any clarification. I would be glad to assist you further if I can.