PL Risk Blog

Could Holiday Practices Land Companies in Hot Water?

Written by Mike Smith | Dec 14, 2015 6:21:26 PM

The holidays are meant to be filled with cheer and loved ones. However, employers should be aware of the legality of common professional scenarios that occur during this time of year.. In order to reduce your clients' management and company liability, provide them with a comprehensive Directors and Officers Liability Insurance Program.

Accommodating religious beliefs in the workplace is an idea that’s long been protected. Requesting days off to observe religious holidays of all types is supported in the United States. Title VII of the Civil Rights Act obligates employers to reasonably accommodate the employee as long as it does not result in any undue hardship. Accounting Web states that an employer can show undue hardship if accommodating the religious beliefs of an employee requires more than ordinary administrative costs, diminishes efficiency in other jobs, infringes on other employees' job rights or benefits, impairs workplace safety, causes co-workers to carry the accommodated employee's share of potentially hazardous or burdensome work, or if the proposed accommodation conflicts with other laws or regulations.

Next, year-end bonuses are grounds for legal concern, as well. Employers who offer these bonuses need to ensure that they do not violate the federal Fair Labor Standards Act. The bonuses for both exempt and non-exempt employees should reflect a fair number when taking pay and overtime pay into consideration.

Lastly, company parties should remain in compliance with the sexual harassment policy. Monitor employee alcohol intake and limit the number of drinks allowed, if necessary. Set up designated drivers to secure their safety and make sure qualified professionals check each ID prior to serving.

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