From the Hotline: Employer Negligence for After-Hours Activity
Question: Is the employer responsible for a remote employee’s negligence? We’ve given an allowance to two remote employees to take their wives out to dinner. If they are found negligent in behavior, driving under the influence, drugs, etc., is the employer held responsible?
Answer: Although this would depend upon the facts and circumstances of the dinner party, if it is a purely social recognition activity where the remote employee chooses the restaurant and date, it would most likely not be considered a work-related event. If, however, the employee planned a holiday dinner party that included customers or other employees paid for by the employer, then it might create some risk to the employer.