Question: How do employers limit holiday party liability?

Answer:

There are several precautionary measures employers can take to limit risk this season of holiday parties:

  • Consider the day of the week.  Weekday holiday parties are less intrusive on employees’ personal time and are less likely to get out of control, than holiday parties that fall on the weekend.
  • Although making attendance mandatory may be tempting for various reasons (such as wanting a good turn out or the desired camaraderie that may result from employees socializing outside of work), resist the temptation.  This could put the party within the course and scope of employment, which could both trigger potential overtime obligations for hourly employees and coverage under your workers’ compensation policy if there were an injury at the party.
  • If you choose to serve alcohol, limit consumption by:
    • allowing each person a limited numbers of drink tickets,
    • ensuring your bartenders are prepared to cut off employees if they become intoxicated,
    • only serving beer and wine or a specialty cocktail that is easy on the alcohol content, or
    • stopping serving alcohol an hour before the end of the party.
  • Be cognizant and respectful of different religious beliefs, so you do not offend or discriminate against anyone. Be inclusive by calling it a “holiday party” rather than “Christmas party.”
  • Especially in the current sexual harassment climate, be mindful of activities at the party that might lead to inappropriate conduct or banter.  Skip the mistletoe.
  • Consider providing transportation after the party at the Company’s expense to discourage drinking and driving.  Encourage (and possibly pay for) taxis or Ubers or use designated drivers to get people home safely.

Now that those bases are covered, have a fun and worry-free holiday party!

About the Author:  Laura Liss (lliss@pfs-law.com) is Chair of Patzik Frank and Samotny’s Employment Law Practice Group. She provides both legal and practical business advice on all phases of employment-related decisions. She regularly serves as a sounding board for business owners, executives and human resources professionals and assists them in successfully and efficiently navigating the various employment laws that impact their businesses.

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