Restaurant managers are often the source of employment claims. From hiring decisions to discipline to termination, managers make daily choices that create legal exposure. Understanding how EPLI covers manager conduct - and what you can do to reduce risk - is essential for multi-unit operators and any restaurant with supervisory staff.
Why Managers Create EPLI Exposure
- Hiring authority: Discrimination in hiring, improper interview questions
- Scheduling power: Perceived favoritism, failure to accommodate
- Discipline authority: Inconsistent enforcement, undocumented actions
- Termination decisions: Wrongful termination, retaliation claims
- Daily interactions: Harassment, hostile work environment
How EPLI Covers Manager Actions
Standard EPLI policies cover claims arising from manager conduct, including:
- Harassment claims against managers
- Discrimination claims based on manager decisions
- Wrongful termination claims
- Retaliation claims
- Defense costs even for frivolous claims
Training Managers to Reduce Claims
- 1.Document everything: Performance issues, discipline, positive feedback
- 2.Be consistent: Apply rules equally across all employees
- 3.Know the law: Train on harassment, discrimination, accommodation requirements
- 4.Escalate appropriately: Know when to involve HR or ownership
- 5.Avoid retaliation: Never take adverse action after complaints
Frequently Asked Questions
Can I be personally sued as a manager?
Yes, individual managers can be named as defendants in employment lawsuits. Most EPLI policies cover individual insureds (owners, officers, managers) for claims arising from their employment duties. Check your policy to confirm individual coverage.