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Employment Law

04 May 2009

Swine Flu: Do Employers Need a Plan?

In the face of reports that a global pandemic is imminent, the Director-General of the World Health Organisation has advised countries to immediately activate their pandemic preparedness plans. This means businesses around New Zealand should be thinking about what to do if a swine flu pandemic becomes a reality.

What issues do employers need to consider?

An outbreak of any pandemic would cause major disruption to businesses throughout the country. Some examples of the issues that employers may face include:

Having to operate without a large portion of their workforce. The Ministry of Health believes that around 40 percent of the population could become ill if swine flu turns pandemic. On this basis, employers will need to have a contingency plan in place to deal with employees who are sick and unable to work, employees who are required to look after sick dependents, and employees who refuse to come to work for fear of being infected.
Managing obligations under the Health and Safety in Employment Act. This Act requires an employer to take "all practicable steps" to ensure the safety of employees while they are at work and to ensure the actions (or inactions) of any employee do not harm any other person. Such practical steps range from implementing policies and procedures (to limit or eliminate exposure to infection) to deeming the workplace a hazard and requiring employees to either work from home, or if that is not possible, to close the workplace until the pandemic is over.
Considering the potential impact on a business if local or international suppliers are unable to supply goods and services for a period of time. For example, an outbreak is likely to have significant consequences for those relying on international trade and transportation.

What can you do to address these issues?

To minimise the potential impact a pandemic may have on business - be prepared! Thinking ahead, some steps an employer can now take include:

Keep up to date: monitor government releases and check whether any staff have been travelling overseas where they may have been exposed. For the latest information being released from New Zealand Government and the Ministry of Health regarding the status of the pandemic. For those businesses that rely on international suppliers, keep updated on how the pandemic is affecting other countries through their government websites or the World Heath Organisation.
Review policies and employment agreements: see what measures you can put in place.
Ensure you are aware of any changes in legislation that deal with pandemic related issues: for example, during the Avian Flu pandemic scare, the Government was prepared to amend the Holidays Act to allow an employer to require an employee to take annual leave without having to give the usual 14 days notice.
Review, update or implement a continuity plan: think about what steps you can take now, during and after, a pandemic, to support your business needs to operate optimally.
Talk to and involve your staff, relevant unions and your customers and clients when planning: agree on a plan in advance without getting tied up in overly legalistic issues.

Some questions to consider to help your planning for a pandemic are:

what steps will you take to keep the workplace safe?
what leave arrangements can you put in place to manage illnesses etc?
what happens if you have to close the workplace?
when can you make staff take sick leave and what can you do if staff refuse to report to work?
have you got adequate plans and resources in place to require staff to work from home to allow business continuity?
do you have contractors? If yes, what can you do if your business needs change?
what essential work has to be maintained?
how will you manage a return to "business as usual"?

Please contact us if you require further information on preparedness plans and/or to discuss these issues. You should also keep reviewing the following websites:

Ministry of Health

Ministry of Economic Development

Department of Labour