Employee's Liability at Work
We would like to describe in how far you are personally liable when damages occur at the office or otherwise at work. You will learn what financial risks you run during your employment. We are thinking of you personally damaging your employer's property or your employer's customer. Will have you have any liability?
After I ate lunch in the kitchen of our office, I gracefully tossed a vase off the counter. It fell on the floor and broke. Just as I expected, my boss said that he demands a new one. He expects me to go out and get it after work. Can that be? I thought my boss carries all liability in his office.
Yes! During your private time in the office (lunch break), you negligently destroyed his property. This offense entitles your boss to damages. He is totally correct in demanding you to get a new one after work. Though, you are generally right, that your boss can be held liable for infringing obligations or damaging other persons or their property.
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When are employees liable for damages they make?
Your liability will be limited in accordance with the so-called “in-plant compensation principles”. Following those principles, the employer will have to bear a portion of the damages himself, because the “general operational risks” of the business are treated as contributory negligence. As a rule of thumb, your liability will be
- 100% in cases of intention or gross negligence,
- 50% in cases of average negligence and
- 0% in cases of light negligence.
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Could you name some exceptions?
The most common exceptions are:
- Certain risks are exempt to be covered by insurance. If they are your liability, you will be limited to the amount customarily retained by the insurance company.
- If your activity is particularly risky, this will reduce your liability vis-à-vis your employer.
- If you are operating very expensive machinery, it cannot be expected of you to cover all damages.
- It is not sufficient that your intent relates to the fact that you breached your contract. The intent must extend to the damage of your cause (judgment of BAG of April 18, 2002 - 8 AZR 348/01).
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