A third of office workers haven’t been back in the workplace since March 2020 but businesses are now concerned about the likelihood of employee lawsuits in the months ahead, according to Gallagher.
According to a Gallagher survey, 44 per cent of business leaders believe that employee litigation is the biggest danger to their company in the coming year, with concerns about asking people to return to work after Covid-19 being the top issue. Other concerns include complaints about mandatory vaccination for employees and bosses addressing workers who declare they need to self-isolate but aren’t being truthful.
The research found that 25 per cent of business owners are unsure whether they may demand staff return, with 23 per cent indicating that their employees’ contracts do not require them to work from a specific location.
Around 40 per cent of organisations are recommending that employees work full-time now or in the near future, or a minimum of part-time as they implement a hybrid model.
58 per cent of business executives are also concerned about how they allocate their workload as 20 per cent foresee complaints or litigation relating to stress caused by overwork or pressure.
Gallagher managing director of risk management Neil Hodgson says: “The return to workplaces is a complicated task for senior leaders at UK businesses. Keeping everyone happy can be challenging, and while some employees feel that they have no need to be in the office, there is an awareness that leadership needs to implement policies consistently. But many businesses remain uncertain just how far they can legally mandate the return to workplaces – leading to concerns about litigation and complaints.
“Even when businesses are sure they are on safe ground with enforcing the return to workplaces, there is always the risk that attempts will be made to fight the decision. The fact is that employee litigation has been on the rise for some time and disagreements as a result of Covid-19 are likely to further exacerbate the issue.
“No company is immune to it and the costs of defending employee claims can devastate a business. Unfortunately, legal fees may need to be paid even if the claim is unsuccessful, which is why it is important to have insurance in place that will cover these costs.
“Businesses should speak to their broker about employee practice liability insurance that will cover costs as a result of certain legal disputes with employees. When a company’s workers claim their legal rights as employees have been violated, this can protect against resulting litigation, including claims of discrimination and wrongful termination.
“Furthermore, businesses can potentially head off any claims by speaking to an insurance broker who can provide risk management advice to guard against any potential claims and mitigate any possible employee concerns about returning to the office.”
