Tis the Season!! Compensability of Accidents During Work Holiday Events: Insights from New Jersey Case Law

As the holiday season approaches, many employers host festive events to celebrate with their employees. While these gatherings can foster camaraderie and boost morale, they also raise questions about workers’ compensation claims in New Jersey. Specifically, what happens if an employee is injured while traveling to or attending a work-sponsored holiday event? This article explores the principles of compensability in these scenarios, supported by New Jersey case law.

In the NJ WC Act, it is clear that attendance at the event must produce a benefit to the employer beyond improvement in the employee health and morale in order for an injury to be deemed compensable. In a case decided by the NJ Supreme Court, compensability was found when the employer provided transportation and noted the event did also serve a business purpose.

In another case, the court noted that networking opportunities and professional development resulted in a compensable scenario. If the event is deemed to have as its goal team spirit and workplace cohesion, again injuries could be found compensable.

Considerations for Employers

To mitigate potential liabilities, employers should consider the following best practices when hosting holiday events:

• If attendance is not mandatory and the event is simply available for seeing their co-workers socially, make that clear;
• Safety Measures:
  • Ensure that safety protocols are in place during the event to minimize the risk of injuries
  • Ensure that no one leaves the event intoxicated and driving home
• Documentation:
  • Keep records of the event’s planning and execution to establish the event’s purpose and the employer’s involvement.

Conclusion

The compensability of accidents during work holiday events in New Jersey largely depends on the nature of the event and the employer’s involvement. When the employer sponsors the event and exerts control over the circumstances surrounding it, the event and injuries while attending can be deemed compensable. If attendance is voluntary, you have a better opportunity  to  deny the claim. If attendance is mandatory, you clearly face exposure. If it is “strongly recommended” you may face exposure also. Make your decisions re the event with your eyes “wide open.”