This article also appeared in the NZ Herald.
By EMA Manager Employment Relations & Safety Paul Jarvie
As the festive season approaches, many New Zealand businesses are preparing for their annual Christmas functions. These gatherings, ranging from casual Friday night drinks to extravagant staff parties, provide an opportunity for employees to get together and celebrate their achievements during the year.
This year has been hard for businesses and employees. There remains in the public domain a sense of pent-up anxiety, post Covid, plus the cost-of-living challenges. All this may lead to a “let’s let our hair down and forget all life’s issues” feeling. This should act as a cautionary amber light for employers. The full force of employment law, including health and safety and ACC, remain in force, particularly when alcohol is part of the equation.
Our EMA AdviceLine regularly receives enquiries from Members this time of year about their responsibilities and obligations when holding staff functions. We point them towards practical guidelines that help ensure celebrations remain safe, inclusive, and compliant with employment obligations.
An employer’s obligation to provide a healthy and safe work environment, under the Health and Safety at Work Act, could very well apply to the end-of-year Christmas party. If the party is organised, promoted or funded by the employer (either partially or wholly), then it may be considered an extension of the workplace.
It’s crucial that employers are aware of their responsibilities when alcohol is available. Don’t treat your Christmas party like you’re entering international waters.
Before the event, employers should take the time to remind employees of their expectations regarding behaviour and responsibility. Clear communication of policies, including updates to any outdated conduct guidelines, is vital.
Reinforcing the importance of respect and professionalism is especially important, even in a festive setting where the atmosphere might be more relaxed.
Having a responsible host at the event can significantly enhance safety and accountability. This individual should abstain from drinking, in order to effectively monitor the situation and intervene if necessary. A responsible host can provide valuable oversight, ensuring that the event remains enjoyable and safe for everyone.
Involving employees in the planning can foster a sense of ownership and responsibility among staff. This collaborative approach can enhance the overall experience while reinforcing the importance of safety.
Offering substantial food and a variety of non-alcoholic drinks can help mitigate the effects of alcohol. Monitoring alcohol consumption is equally important; employers should remain vigilant in identifying excessive drinking and be prepared to intervene if necessary. This might involve stopping the supply of alcohol if the situation becomes problematic.
Additionally, encouraging employees to plan their transport home in advance or providing transport options such as buses, taxi chits or Uber gift cards can help prevent unsafe situations.
Special care should also be taken to protect younger employees, particularly those under 18, as it is illegal to supply them with alcohol without parental consent.
There have been several Employment Relations Act cases in and around the Christmas function aftermath. In the Court of Appeal case Smith v Christchurch Press Company, the court clearly established that the key issue with poor employee behaviour is not where, or when, the conduct occurred. Instead, it looks at the impact or potential impact of the conduct in relation to the employer’s business or workplace relationships.
There are other cases where employment law processes were not followed correctly, resulting in fines and awards. Employers must act in good faith and not jump to conclusions regarding employees’ behaviour, statements and follow-ups.
In some situations, Christmas party injuries may be regarded as work injuries, resulting in a claim against your ACC account.
Employers must be ready to respond appropriately to any complaints regarding behaviour, as actions taken at a work function can have disciplinary consequences. It’s important for employers to consider the context of any alleged misconduct and its potential impact on the workplace.
Allegations of inappropriate jokes, verbal abuse, or physical altercations may require varying responses, from informal discussions to formal disciplinary actions, depending on the severity of the incident.
Taking a careful approach ensures fairness and helps maintain trust between employers and employees. If formal actions are deemed necessary, we would advise seeking professional or external advice before any actions are taken.
As businesses gear up for their Christmas functions, health and safety must remain a top priority.
With the right planning in place, Christmas gatherings can be celebrations of success and camaraderie while reflecting the true spirit of the season. Care and respect for all is needed – it’s a time to celebrate and show the company’s culture in full view.