How to Prevent Holiday Party Liability

Company-sponsored holiday parties are a fun way to celebrate the season while maintaining employee morale. However, if you’re not careful, your company party could result in unexpected legal liability. Follow these suggestions to prepare for and avoid holiday party liability as you plan your next event. By keeping these tips in mind you’ll be better equipped to host a safe and enjoyable event.

Hosting a holiday party without legal headaches

Just say “no” to mistletoe.  Office holiday party behavior leads to numerous sexual harassment complaints every year. Minimize these complaints by refreshing your staff’s memory about your company’s anti-harassment and dress code policy during the weeks leading up to the party. And leave the mistletoe out of your decorating plans.

Don’t make it mandatory. According to Hawaiʻi labor and employment law, employees are not required to attend holiday parties. Let employees know they’re invited, not required, so they feel comfortable choosing whether to attend. After all, it’s not really a party if you’re forced to go.

Avoid religious ties.  For example, while you may celebrate Christmas, a neutral theme helps everyone feel included. Host a generic holiday party to ensure a comfortable and inclusive atmosphere.

Encourage company cheer, control holiday spirits. If you decide to serve alcohol at your event, start by checking with your insurance policy to make sure it covers third-party liquor liability. Even if you’re covered, it’s a good idea to limit the number of drinks per person. You should provide drink tickets and tell servers to refuse alcohol to anyone who appears intoxicated. Notify employees ahead of time that safe transportation options will be available:

• cab services
• rideshare vouchers
• organized carpools

Host your party off-site. Although hosting the event at your workplace means avoiding rental costs, it also increases your chances of holiday party liability, especially when alcohol is involved. Consider holding the party at a restaurant, hotel, or other public venue. If you are going to serve alcohol at your party, make sure the location has a valid liquor license.

Discipline as needed. Communicate proper etiquette to your team ahead of the event. Be sure that leadership understands what may constitute a break in the code of conduct for the event.  Be sure to investigate complaints swiftly and discipline fairly and consistently.

By following these guidelines and risk management strategies your business will mitigate these risks and ensure a safe and responsible environment for all attendees.

Related: Should You Allow Halloween Costumes at Work?

This article is for informational purposes only and does not constitute legal advice. Readers should first consult their attorney, accountant or adviser before acting upon any information in this article.