WORKPLACE LAW -
Planning a Safe Holiday Party
Question:
With the holidays right around the corner, my business is planning our annual holiday party. We want all of our employees to have a great time, but we want to make sure that nothing gets out of hand. In preparing for the party, what should we do to minimize potential liability?
Answer:
When planning your holiday party, there are several issues to consider. As an employer, you want to reward your employees for the year of hard work that they have completed. Simultaneously, you do not want anything to happen that could jeopardize the safety or well being of your employees or the livelihood of your business. As a result, it is best to take various precautionary measures that will assist you in satisfying all of your holiday party goals.
Excessive drinking can cause holiday party problems. When not properly controlled, alcohol consumption can lead to accidents, altercations amongst guests, sexual harassment, and other unwanted consequences. In the worst case scenario, such consumption can lead to fatal motor vehicle crashes. Furthermore, the ramifications of these incidents may result in employer liability.
Under California law, a business may be held responsible for injuries and property damage caused by an individual who becomes intoxicated at the business’s holiday party. Specifically, businesses are subject to both civil and criminal liability as social hosts. In addition, workers’ compensation insurance generally does not cover costs stemming from injuries that occur during social activities such as holiday parties. Thus, in order to minimize potential liability, businesses should take the following preventative steps.
First, employers should weigh the option of having their event at an off-site location such as a hotel or restaurant during non-working hours. By doing so, an employer may be relieved of responsibility as a social host if an accident happens. An off-site location may also encourage employees to carpool and to designate a driver.
Second, businesses should discourage excessive drinking. This can be accomplished by informing employees and guests about the ground rules for the event in advance, and by monitoring the event to ensure that those rules are enforced. Some businesses choose to hire a professional bartender to control alcohol consumption since the bartender will act as a neutral third party who will not be embarrassed to stop serving intoxicated guests. Some employers choose to issue drink vouchers or tickets, while others discharge excess consumption by charging for drinks at a cash bar. Businesses may also decide to only serve beer and wine, or to not serve alcohol at all. Regardless of your business’s decision, you should take steps to ensure that all of your guests leave in a safe fashion.
One step towards that goal is to make sure that there are plenty of non-alcoholic beverages available. Guests should also be informed that alcohol will not be served after a specified time. Furthermore, individuals should be designated to oversee the event and to identify guests in need of assistance, and transportation should be arranged in order to get everyone home safely. Employers should either provide a taxi service or have designated drivers established, and such information should be communicated to guests in advance of the event.
Businesses should also beware of the increased potential for sexual harassment during holiday parties. In a social environment where alcohol is being served, employees may be less restrained than they are at work. As a result, employers should closely monitor the behavior of employees and guests at their holiday party to ensure that everyone is behaving appropriately. Employers must remember that they may still be liable for sexual harassment even if it occurs while employees are off-duty at a holiday party.
Finally, employers should make sure that their actions are respectful and non-discriminatory in the eyes of all of their guests. Specifically, it is important to keep your holiday party as religiously and culturally neutral as possible in all aspects. Employees should be informed that attendance is not mandatory, in consideration of individuals who choose not to attend. Additionally, decorations and celebrations should not be overtly religious, as there will likely be guests with differing faiths.
In short, it is extremely important to monitor the actions of the guests at your holiday party. By properly doing so, employers can minimize the risk of alcohol-related accidents, sexual harassment, and discrimination. Moreover, by properly planning out their holiday parties, employers can successfully reward their employees while still ensuring that everyone has a safe holiday.
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