Tag Archives: Legal Risks

Hospitality Industry Risk Management Update: “Employee Theft – Protecting More Than Property”

While hoteliers can take strong steps to reduce employee theft, eliminating it entirely is likely an impossibility.employeetheft The best loss prevention involves good procedures for hiring, training and supervision of employees. And by following a few best practices, employers can limit the potential liability for claims related to employee theft situations and diminish the potential for the insult of an expensive lawsuit on top of the injury of employee theft.

The problem of employee theft in hotels is an age-old problem. Businesses lose billion of dollars each year in employee theft. And hotels, by nature, present numerous opportunities for employee theft from guests and the house. Theft in a hotel can take many forms – from identity theft to credit card fraud to theft of merchandise and guest property. No employer hires an employee thinking that the employee is someday going to steal. Hotels need to take steps to prevent theft and be cautious in taking action against an employee after a suspected theft. Both have practice and legal implications.

Prevention in All Forms

Take a thorough look at your hotel’s security measures and processes. Ensure that your guest room locking systems and room safes meet general industry standards. Review, implement or update employee policies related to 1) package passes to control removal of property from the hotel, 2) lost and found procedures, which should be strictly enforced and 3) guest room access by employees. Consider an audit by a security expert to review your security procedures and protocols – in action.

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Filed under Crime, Employee Practices, Hotel Employees, Hotel Industry, Management And Ownership, Risk Management, Training

Hospitality Industry Legal Update: “Bill Requiring Sex-Offender Checks on Hotel Workers Advances”

One of those is the fact that the measure as approved by the panel Monday has no enforcement mechanism and no penaltiesarizonabackgroundchecks for those hotels that ignore the law. Hobbs said she is counting on key changes when the measure goes to the full Senate. And Sen. Steve Smith, R-Maricopa, said he wants something in the legislation to ensure there are regular checks made of employees, not just at the time they are hired.

Told of the rapes of two guests in separate incidents in Mesa, members of a Senate panel voted Monday to require hotels to see if those who have access to room keys are sex offenders.

SB 1432 spells out that owners or managers have to use one of two available Internet websites before hiring anyone who can get into a guest’s room. If the employee shows up on either one, the hotel is barred from providing keys, keycards or any other method of getting into a room.

The vote followed testimony of attorneys who represent two women who were attacked in two separate incidents at two separate hotels — both reportedly by the same man.

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Filed under Claims, Employee Practices, Guest Issues, Hotel Employees, Hotel Industry, Management And Ownership, Risk Management

Hospitality Industry Security Update: “Tips to Keep Hotel Data Hackers at Bay”

Also of concern to hotels is the Dark Horse Virus, Shortz said. This virus is meant to capture sensitive data business travelers might have on their devices.data hack She said it presents itself as a system update when a user logs onto a hotel’s Wi-Fi network and is prompted to type in their name and room number…Data hacks will continue to happen in the hotel industry, the presenters said. During an interview with Hotel News Now following the session, Garfinkel said it’s not a matter of if a hotel company is hacked, but when.

Lara Shortz surveyed the crowd Tuesday at the Hospitality Law Conference and asked attendees to raise their hands if they’ve been involved in a data breach.

“If you haven’t raised your hand, you should,” Shortz, an attorney at Michelman & Robinson, said during a session titled “Anatomy of a hospitality data breach.”

The session was especially timely given reports that White Lodging was again targeted by data haxkers. In 2014, malware was found in the food-and-beverage outlets of 14 of  its hotels a year ago.

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Filed under Conferences, Crime, Employee Practices, Management And Ownership, Risk Management, Technology, Theft

Hospitality Industry Management Update: “5 Trends in Hotel Design”

Developers with sustainability goals can use the LEED credit list and become certified, but Beckman says those things aren’t always sensible. He sees a bigger payoff in selecting sites that are polluted and need fixing.HotelIndigo1-620x330 “Now, you’re taking care of a site that has had some industry on it and has left some residue behind that needs to be cleaned up,” he says. “So you’re doing something positive for the urban environment, for the city, and for yourself.”

As the U.S. economy continues to strengthen, the architecture and design industry is gaining momentum. Gordon Beckman, principal and design director at John Portman & Associates, an architectural and engineering firm with more than 60 years of expertise in designing hotels and other buildings, discusses opportunities and trends in hotel design.

All About Authenticity
Hotels across the country are focused on providing locally relevant and authentic experiences. As a result, lobbies have evolved into active social hubs with flexible spaces for work and play, featuring cafés, bars, libraries, computer stations, game rooms, and more. “The more interactive things you have, the better—whatever you can do to connect people and make it less of a hotel and more of a place,” Beckman says. By incorporating flexible design elements, hotels can more quickly adapt to consumers’ changing tastes and preferences. “There’s a certain flexibility that gets built in to allow for change, because more and more people see hotels as an evolution of place rather than a static brand.”

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Filed under Employee Practices, Hotel Industry, Hotel Restaurant, Maintenance, Management And Ownership

Hospitality Industry Technology Update: “How Technology is Changing the Hotel Concierge”

Marriott International’s Renaissance Hotels has adopted a hybrid approach that combines technology and personal service:Concierge a global hospitality program called “Navigator” that provides guests with resources allowing them to be “in the know” and to discover a destination’s hidden gems

The role of the hotel concierge might never disappear entirely, but advancements in technology (and changing attitudes from the guests who use it) are supplanting the need for human contact in many hotels around the world.

“The current role of the concierge is to provide information and services to guests,” said Kevin Murphy, chairman of the Hospitality Services Department at Rosen College of Hospitality Management in Orlando, Florida. “Their role will never diminish, but it’s going to be a much more specialized type of service that they’re providing.”

According to Les Clefs d’Or, an organization for professional hotel lobby concierges, there are 595 concierges wearing the group’s crossed gold keys insignia in the United States, a 14% increase since 2009.

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Filed under Employee Practices, Hotel Industry, Management And Ownership, Technology

Hospitality Industry Management Update: “Reducing Waste Can Benefit the Environment and Bottom Line”

Because landfill costs differ by region, the company provides cost analysis proposals to hotels interested in its recycling services, whichWaste-620x330—if clients prefer—include the installation of new mattresses as well as the removal of old.In its cost analysis for Hilton Worldwide, the company found it could recycle mattresses and box springs for an average $20 per set versus the $50 average it would cost to landfill them.

Trash piles are shrinking across the United States as a growing number of hotels are opting to divert waste previously destined for landfills. Adopting greener waste-management practices offers a handful of benefits. It aligns your property with state and local waste-reduction laws that, if not enacted in your area yet, likely will be soon. It demonstrates a commitment to environmental responsibility, which can be an appealing draw for socially conscious clients. And it can yield significant savings when done right.

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Filed under Employee Practices, Green Lodging, Hotel Industry, Maintenance, Management And Ownership

Hospitality Industry Risk Management Update: “U. Michigan Frat Accused Of Causing $50,000 In Damage To Hotel ‘Embarrassed And Ashamed’ Of Behavior” (VIDEO)

“We had a group of a fraternity that was visiting and had an excessive party and did damage on the resort.frat party Food, beer, alcohol, the walls, carpet damage, ceiling broken down and furniture damage,” the Treetops Resorts general manager told local 9 & 10 News. He also said that the students had to be led out of the hotel by police.

The University of Michigan chapter of Sigma Alpha Mu released a statement Wednesday taking responsibility for a reported $50,000 worth of damage to a northern Michigan ski resort.

“We are embarrassed and ashamed of the behavior of a few of our chapter members at Treetops Resort over the weekend of January 17-18,” the fraternity said. “This behavior is inconsistent with the values, policies, and practices of this organization.”

The Sigma Alpha Mu members allegedly caused a reported $50,000 worth of damage. Two other UMich fraternities also reportedly caused thousands of dollars worth of damage to another nearby ski resort the same weekend.

For more: http://read.bi/1CMh6GM

And for more on how to manage special events, check out the video below from Petra’s own P3 Risk Management Team.

[vimeo https://vimeo.com/119141202 w=500&h=281]

Petra Risk Solutions’ Director of Risk Management, Todd Seiders, offers a P3 Hospitality Risk Report – ‘Managing Prom Nights & Grad Parties’. 

P3 (Petra Plus Process) is the Risk Management Division of Petra Risk Solutions – America ’s largest independent insurance brokerage devoted exclusively to the hospitality marketplace.

For more information on Petra and P3 visit petrarisksolutions.com or call 800.466.8951.

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Filed under Crime, Guest Issues, Hotel Industry, Insurance, Management And Ownership, Risk Management, Structural Damage

Hospitality Industry Conference Update: “2015 Hospitality Law Conference”

The speakers, panelists, roundtable hosts, and facilitators of the 2015 Hospitality Law Conference represent the full spectrum of key roles in the hospitality industry:hlc2015 Private attorneys, hotel and restaurant corporate counsel, risk managers,finance executives, real estate developers, human resources managers, loss prevention managers, insurance brokers, and hotel and restaurant owners, managers, and operators

Hospitality Insurance and Loss Prevention Summit: The Petra Risk Solutions Hospitality Insurance and Loss Prevention Summit converges insurance, risk, LP, legal and finance to break down the silos of these functional areas. As we do each year, we begin with the top claims that have occurred over the last twelve months and the best practices to prevent them from occurring at your hotel or restaurant. As Worker Compensation Claims are becoming more of a challenge for the industry, we will take a deeper dive into best practices for prevention, claims handling and back to work policies.

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Filed under Conferences, Employee Practices, Hotel Employees, Hotel Industry, Management And Ownership, Risk Management, Training

Hospitality Industry Risk Management Update: “Work Comp Control Can Prevent Employees from Early Check-Out”

We recently read an account of a 48-year-old female who had two complete knee replacements and got hired as a housekeeper.backinjuries-620x330 Within the first three months, she injured her bad knee, and the cost of her workers’ comp claim will be in the tens of thousands of dollars. If this employee had received a pre-placement screening prior to her hiring, the doctor may have recommended her for a different position

According to a recent study by the National Institute of Health (NIH), hotel workers have higher rates of occupational injury and illness compared with workers in other service industries, particularly in the area of musculoskeletal disorders. So is it any wonder why so many hotel employers are throwing up their arms in surrender every time they see their workers’ compensation premiums soar out of control? Many employers treat those premiums with a “there’s nothing I can do about it” mentality when there actually is something that can be done.

The starting point is always your experience mod, or the numbers that dictate what you will pay in premiums, based on your industry. Fifty percent of all experience modifiers are incorrect, and 80 percent of all experience modifiers are mismanaged. You need to understand the importance of managing and reducing your experience modifier—it’s not just a number. Taking a passive or nonchalant attitude can cost you plenty. And this can happen in a number of ways: misclassifications, incorrect payroll audits, recovery at work programs that are weak or in some cases non-existent, and an overall lack of an established safety culture.

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Filed under Claims, Employee Practices, Hotel Employees, Hotel Industry, Injuries, Management And Ownership, Risk Management, Training, Workers' Compensation

Hospitality Industry Insurance Update: “Will Workers’ Comp Pay For Medical Pot For Back Pain?”

A workers’ compensation judge (WCJ) found Dr. Reeve didn’t prescribe medical marijuana and concluded that the pot program wasn’t reasonable and necessary medical care as required by workers’ compmedicalmarijuana…the appeals court had found the certification required under the Compassionate Use Act by a person licensed in New Mexico to prescribe and administer controlled substances is the functional equivalent of a prescription.

In a state where medical marijuana is legal, a recent court decision has reinforced a previous one regarding pot prescriptions under workers’ comp. 

Miguel Maez suffered injuries to his lumbar spine in February and March 2011 while working for Riley Industrial in New Mexico.

Maez received temporary disability benefits under workers’ comp. Dr. Anthony Reeve treated him for back pain starting in June 2011 and prescribed medication for pain management. He also referred Maez to another doctor for spinal injections.

During a test required for pain management patients, Maez tested positive for marijuana. Dr. Reeve told Maez that if he was going to continue to take marijuana, he needed to have a license for Dr. Reeve to continue administering other narcotics.

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Filed under Employee Benefits, Hotel Employees, Hotel Industry, Insurance, Management And Ownership, Risk Management, Workers' Compensation