Employer Responsibilities at Holiday Parties: Ensuring a Safe Event

The holiday season is a time for celebration and team building, but it also presents unique challenges for employers. Hosting a holiday party involves more than just festive decorations and good cheer; it requires careful planning to ensure a safe and legally compliant event. Failing to address potential risks can lead to significant liability issues. In fact, around half of all workplaces offer alcohol at their holiday parties, yet less than half regulate the amount of booze attendees consume. Employer Responsibilities at Holiday Parties: Ensuring a Safe Event is paramount.

Understanding Employer Liability

Employers can be held liable for incidents that occur during or after a company-sponsored holiday party. This liability can arise under various legal theories, including:

Vicarious Liability: Employers can be held responsible for their employees’ actions within the scope of their employment. This can extend to work-sponsored events like holiday parties, as the employer has a degree of responsibility for employee safety and well-being during the event. For example, if an employer encourages drinking and an intoxicated employee causes a car accident on the way home, the employer could face a claim.
Social Host Liability: In many states, employers can be held accountable as “social hosts” if they serve alcohol to a visibly intoxicated employee who then causes an accident. Social host liability laws vary by state, with some jurisdictions holding employers liable regardless of whether the employee appeared visibly intoxicated.
Dram Shop Laws: Some states have “dram shop” laws that hold establishments (and sometimes employers) responsible for serving alcohol to visibly intoxicated individuals or minors who then cause harm to themselves or others.

Key Areas of Employer Responsibility

To minimize liability and ensure a safe and enjoyable event, employers should focus on the following key areas:

1. Alcohol Consumption

Monitor and Control Alcohol Service: Implement measures to monitor and control alcohol consumption. Hire professional bartenders trained to recognize signs of intoxication and to refuse service to visibly intoxicated individuals.
Limit Alcohol Availability: Consider limiting the number of alcoholic beverages provided. Options include drink tickets, a cash bar, or closing the bar during dinner.
Offer Alternatives: Provide plenty of non-alcoholic beverage options.
Promote Responsible Drinking: Encourage responsible drinking and avoid pressuring employees to consume alcohol.
Provide Transportation: Arrange for alternative transportation options, such as taxi or rideshare services, to ensure employees get home safely. Some companies allow employees to expense a cab or rideshare home from the party.
Designate Monitors: Designate employees to monitor the party and ensure responsible alcohol consumption.

2. Harassment and Discrimination

Reinforce Anti-Harassment Policies: Remind employees that the company’s anti-harassment policies apply to company-sponsored events.
Set Expectations for Behavior: Clearly communicate expectations for appropriate behavior before the party.
Monitor for Inappropriate Conduct: Encourage people to intervene if they see inappropriate behavior.
Avoid Inappropriate Decorations: Refrain from using decorations or activities that could be considered offensive or discriminatory.
Be Inclusive: Ensure the party is inclusive and respectful of all employees’ backgrounds and beliefs.

3. Workplace Safety

Ensure a Safe Venue: Ensure the party venue is free from hazards that could cause injuries, such as slips, trips, or falls.
Provide Adequate Security: If alcohol is served, consider hiring security personnel to ensure the safety of all attendees.
Address Overcrowding: Avoid overcrowding to prevent accidents and injuries.
Keep Walkways Clear: Keep walkways clear of cords and decorations to prevent tripping hazards.

4. Other Considerations

Voluntary Attendance: Make it clear that attendance at the holiday party is voluntary.
Wage and Hour Laws: If attendance is mandatory, non-exempt employees must be paid for their time.
Workers’ Compensation: Be aware that injuries occurring at a holiday party may result in workers’ compensation claims.
Religious and Cultural Sensitivity: Be sensitive to the religious and cultural differences of employees when planning the party.
Food Safety: If serving food, take precautions to prevent foodborne illnesses.

Practical Steps to Minimize Risk

Here are some practical steps employers can take to minimize their liability at holiday parties:

Obtain Insurance: Check insurance policies to ensure adequate coverage for accidents or injuries arising from the party. Consider purchasing host liquor liability insurance or private event insurance with host liquor liability.
Contract with Professionals: Hire a catering service with appropriate insurance and licensing and that can provide professional servers and bartenders.
Review Venue Contracts: Attempt to include indemnification/hold harmless clauses in contracts with restaurants, caterers, or other venues.
Communicate Expectations: Send a memo to employees before the party reiterating company policies and expectations for conduct.
Lead by Example: Remind managers to set a professional example and to monitor employee behavior.
Document Everything: Fill out a liquor liability incident report if an incident occurs, documenting measures taken to control the intoxicated person.

The Importance of Proactive Planning

Employer Responsibilities at Holiday Parties: Ensuring a Safe Event requires proactive planning. By taking these steps, employers can create a safer, more enjoyable holiday party for everyone and minimize their risk of legal liability. A well-planned and executed holiday party can boost employee morale and foster camaraderie, but it’s crucial to prioritize safety and compliance to avoid potential legal pitfalls.