Duty of care
According to the Dutch employment law you, as the employer, have a duty of care. This means that you must provide your employees with a safe environment during their ‘work activities', both physically and socially. This duty of care is interpreted broadly and can also apply during a company event, even if this takes place outside the company building and/or outside regular working hours. Important questions to ask yourself are:
- Is there a close connection between the company event and the work your employees carry out?
- Where you, as the employer, the organizer of the company event?
- Was attendance of this event mandatory? For example, did you exert (social) pressure on the employees to attend?
If the answer to (any of) these questions is 'yes', then you, as the employer, must also fulfil your duty of care to your employees during the company event.
Liability for damages
If you do not fulfil the duty of care, this can result in an employee holding you liable for damages suffered during or after the company event. This applies to damages suffered by employees themselves as well as by third parties. For example, consider a situation where an employee causes an accident with the company car while being under the influence of alcohol after an event. In that case, you, as the employer, may only avoid liability if the damage is the result of intentional or deliberate recklessness on the part of your employee – a high threshold to meet.
You may avoid liability by taking sufficient measures:
- Inform your employees properly about the codes of conduct during a company event.
- Make sure that the (external) location of the company event meets the required safety standards.
- Take out a comprehensive business liability insurance with adequate cover. This way, you can avoid major financial consequences in case of damages.
Inappropriate behaviour
More and more companies are organising alcohol-free drinks events. While a glass of bubbly may seem harmless, case law shows that excessive alcohol consumption often leads to incidents, such as inappropriate behaviour. Inappropriate comments and unwanted physical advances are relatively common at company events and can be serious enough to warrant the summary dismissal of the employee involved.
It is important to act both decisively and carefully in such situations:
- First, gather all the facts of the situation.
- If necessary, conduct an investigation (using an external agency, if necessary).
- Carefully weigh the different interests of the employees involved.
- During the process, make sure you follow all legal rules.
Practical tips
The tips below may help you fulfil your duty of care and avoid liability:
- Create awareness
- Inform your employees in writing beforehand about codes of conduct and expected behaviour during the company event. This can be done with a light-hearted and clear message.
- Alcohol policy
- Consider implementing an alcohol policy, such as:
- Limiting the number of alcoholic beverages.
- Offering alcohol-free alternatives.
- Appointing a bartender who monitors the responsible alcohol consumption.
- Supervision and points of contact
- Ensure that managers or HR staff are present as points of contact. This helps your employees feel safe reporting any incidents.
- Training
- Organise training sessions for both managers and all employees on inappropriate behaviour and how to recognise signs of such behaviour.
- Follow-up
- State clearly that complaints will be taken seriously and that there is a confidential process for reporting and follow-up.
Enjoy, but limit the risks
A company event such as an end-of-year or New Year's reception, is a valuable tradition and contributes to a positive working atmosphere. However, be aware of employment law risks, such as inappropriate behaviour and possible liability issues. Establish a clear alcohol and behaviour policy containing clear rules to, guarantee a safe working environment, effectively minimize risks and make sure the company event is a celebration for everyone. A moment to end or start the year together in a pleasant way!
More information?
Do you have questions about your duty of care, liability, inappropriate behaviour in the workplace or summary dismissal? Our legal advisers will be happy to provide you with suitable advice!
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