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Minimizing employer liability during the pandemic

August 2020 employment law letter
Authors: 
Andrew Alder, Parsons Behle & Latimer

Can employers be sued if an employee contracts COVID-19 at the workplace? This is a common and appropriate concern for businesses making strategic decisions regarding when and how to resume operations. Technically, anyone can be sued for anything, and many COVID-19-related lawsuits have already been filed against businesses. A better question for businesses to consider is this: Would a lawsuit be successful, and what steps can employers take to minimize their liability risk?

Workers' compensation

Employees who contract COVID-19 at the workplace may be limited to pursuing a claim under state workers' compensation laws, which guarantee compensation to employees for workplace injuries. Most workers' comp laws include an "exclusivity" provision that prevents employees from pursuing a claim for damages directly against the employer.

But COVID-19 illness or death might not be covered by workers' comp insurance. According to the Idaho State Insurance Fund, whether COVID-19 is covered by workers' comp in Idaho is "complex" and may depend on factors related to how far and fast it continues to spread. The employee must still show a connection between her job duties and the infection, but that may become harder to prove as the disease becomes more widespread.

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