‘Tis the season….while office holiday parties are a great opportunity to show appreciation for employees, improve employee morale and team-building, and provide a chance for employees to enjoy some “holiday cheer”, care should be taken to ensure that there is no backlash from the holiday celebrations.

An office holiday party, whether on-site, off-site, during work hours or after-hours is still a work-related activity, so the remainder of this newsletter is on the “bah….hum bug” side of the holidays, but some rules can ensure a festive and claim-free holiday season….

1.    Determine the scope of the party:

  • Will the event be held during the day, after hours at work or during the evening  off site.
  • Will spouses or other significant others to be included or employees only.
  • Will clients, vendors or other non-employees be included.
  • Will there be a gift exchange, or a “white elephant” gift game.
  • Avoid religious references for the party (eg. “Holiday Party” not “Christmas Party”)

2.    Attendance is Voluntary:

When announcing plans for the holiday gathering, make sure that it is announced as a “voluntary” event. No employee should be pressured or feel coerced to attend (especially if due to their religious beliefs, they do not participate in celebrations).

Also as a voluntary event, potential liability can be avoided for certain injuries that may arise out of the holiday celebration. Workers’ compensation claims may be denied if someone claims that they are injured at a holiday celebration if it was a voluntary social activity (and especially if alcohol is involved in the incident).

If attendance is mandatory, non-exempt employees would need to be paid at their hourly rate, and any overtime rate, for attendance.

3.    Alcohol – to serve or not to serve?

Alcohol likely accounts for the majority of problems arising out of holiday celebrations. With the consumption of alcohol many people find that their inhibitions have been loosened and find themselves engaging in inappropriate conduct with fellow employees and guests in attendance at the gathering.

Also, in light of the recent legalization of marijuana employees may think it is permissible to consume marijuana. Employers can still deny employees the right to use/consume legalized marijuana at any work-related function.

Over indulgence of alcohol (or any banned substance) can lead to bad behavior possibly leading to claims of sexual harassment; workers compensation claims for injuries sustained while intoxicated (slip and falls are most common); and possibly drunk driving offenses which can lead to significant potential legal problems, both for the employee and possibly for the Company.

If alcohol is to be served, the following should occur:

  • Drink Responsibly: Advise all employees that while alcohol will be served, they are to drink responsibly. Remind employees that while everyone should enjoy themselves, the Company’s workplace standards of conduct will be in force at the party and misconduct at or after the party can result in disciplinary action. Be certain to have lots of nonalcoholic beverages and water so employees have a choice.
  • Monitor Consumption: At the event, limit the number of drinks.  If it is an “open bar”, assign someone to monitor the consumption of the attendees.
  • Serve lots of food. Serve plenty of food so employees are not consuming alcohol on an empty stomach.
  • Provide transportation: If an employee becomes intoxicated, an employer can be held liable for any injuries to the employee or others so it is wise to make arrangements for the employee using Uber, Lyft, a taxi service at no cost to the employees.
  • Duration of Party: Schedule the party to last only a few hours, and stop serving drinks at least one hour before the function is scheduled to end.

4.    Monitor Behavior

All Executives, Managers and Supervisors should be expected to set an example and not engage in their own improper and inappropriate conduct.  They are to stay alert to employee behavior and look for uncontrolled, unprofessional and potential liability inducing conduct. They should react quickly, quietly and with discretion.

If music is played during the party, make sure that the songs do not include any suggestive lyrics. No “kissing santa” holiday songs should be played.

Do not hang mistletoe!

If there will be a gift exchange, make sure that you notify employees that the gifts must be appropriate and in line with the company’s policies on sexual harassment and workplace conduct.

5.    Post Gathering Complaints

If an employer is confronted with allegations that improper conduct occurred at its holiday party, an employer should consult counsel to discuss legal issues and next steps. Employers should ensure that a thorough and prompt investigation is conducted concerning the complaint and will be handled the same as any other work related complaint.

HAPPY HOLIDAYS

Skip to content