What's Up With the Office Party?

The good news is that the pandemic didn't end the office holiday party. Indeed, there is evidence that the seasonal event is more popular than ever. Some companies even allow "plus ones" to make it even more festive.

Of course, even events that are not essential can still be fun. For example, one business rented a drive-in theater and invited employees to show up in their cars with their families for a sense of still-safe togetherness. That could still be entertaining for the right company in the right location, with staff now being able to mix and mingle during the event.

The remote era

What really may change the holiday party scene, however, is the trend toward remote work. Your staff may be scattered from New York to New Orleans. It might be financially and logistically impossible to bring everyone together. But the same technology that makes working together possible can make partying together entertaining.

People at a party photobooth using props

For example, a company can host a virtual cocktail-making party, where the company gives employees ingredients for alcoholic and nonalcoholic drinks. They mix them together during a virtual party over a Zoom call and share recipes.

Another idea is a trivia party, with questions on topics from geography to Hollywood and employees buzzing in with answers. The company can give prizes such as gift certificates or extra vacation days. One company sent DIY gingerbread houses to each employee, and they assembled them on Zoom, with everyone getting to appreciate their colleagues' creations.

The pluses and minuses of the traditional party

Of course, many companies still have all their employees in one location, and everyone will expect an in-person event. These can range from a restaurant lunch to a buffet in a conference room to a lavish evening event with music and dancing. These can be fun activities that help everyone bond. They are also great at boosting morale. Companies of all sizes might find these well worth the cost.

But there are some things to keep in mind.

The dangers of drink.

These parties generally involve alcohol, and a relaxed, party atmosphere combined with free drinks can reduce inhibitions and lead to careless behavior. While a single inappropriate comment or advance might not be enough for a sexual harassment charge, it might lead to a hostile work environment claim if other inappropriate behavior has occurred. A polite but firm warning in advance can help prevent incidents.

Workers' compensation.

Whether it's a luau contest or your version of "Dancing with the Stars," if physical activities or contests cause employee injuries, they might also result in claims for workers' compensation if someone is hurt. Unless attendance at your party is entirely voluntary and there's no reasonable expectation that employees should attend, you might be responsible for workers' compensation even in states that specifically exclude off-duty recreational, social and athletic events from workers' compensation liability.

Overtime compensation.

If an employee can make a case that attendance at the holiday party is required for employees, you might be obligated to pay nonexempt employees their hourly wages for attending the party. If a nonexempt employee has already worked 40 hours the week of the party, then the party time is considered overtime, and you are obligated to pay time-and-a-half.

But as long as you take care to avoid these pitfalls, you can create an event that entertains everyone and reminds employees that they are valued.