COVID-19, Employees, & Workspaces: Medical, Legal, PR, & Real Estate Perspectives - March 26, 2020
On Thursday, March 26, the ACCJ hosted four experts to discuss COVID-19 responses from their industries. This panel was moderated by William J. Swinton, ACCJ Governor and Director of International Business Studies at Temple University, Japan Campus.
Medical Perspective from Dr. Norifumi Shigemoto, Hiroshima University
The concept of infectious disease crisis management utilizes social distancing to delay the onset of an epidemic. Social distancing also allows time to strengthen the healthcare system and avoid overextending current medical capacity. Japanese responses to COVID-19 have been varied and have managed to stave off infection rates, but many believe COVID-19 is at a turning point.
Japan has implemented measures to enable infectious disease control. First, an individual is diagnosed. If they are infected, they are hospitalized and treated. Healthcare professionals will then follow with contact tracing to conduct health checks and tests on those who have had contact with the patient. The data collected is then aggregated to detect clusters and prevent further infections.
Because Japan has universal healthcare, patients exposed to infectious diseases are covered by public funds. Ensure that employees are informed of their health care coverage and encourage them to come forward should they become infected. If someone tests positive, contact your local health authorities immediately so they can begin implementing measures for disease control. To aid contract tracing efforts, retrace and document the individual’s movements. Identified areas should be sanitized immediately, and associates should be notified and self-quarantine.
To prevent transmission, wash hands thoroughly and regularly, and practice good hygiene and sanitary etiquette.
As a company, there are a number of actions that can minimize the risk of transmission.
Refrain from activities in enclosed spaces with poor ventilation.
Postpone physical events to the maximum extent possible.
Reduce the number of people in the office or telework.
If working in the office is unavoidable, vary work hours and commuting times.
Avoid conversations close to one another.
If available, have employees don face masks in the office. Create an environment that makes handwashing easy and convenient (e.g., continuously refill hand soap and paper towels).
Promote the use of sick leave.
Adhere to MOFA recommendations and refrain from unnecessary/non-urgent travel.
Ensure proper practices are widely disseminated throughout the company.
Real Estate Perspectives from Gordon Hatton, Co-Chair of the Real Estate Committee / Vice President, Head of Japan, Pembroke Real Estate
There are key precautions companies should take in their spaces before and after an employee tests positive.
Companies should maintain open communication lines with their landlords. In turn, landlords should engage with fellow landlords often to learn and share best practices. Best practices include enhanced building cleaning, particularly in common areas, and controlling access points.
When it comes to your physical space, establish protocols that minimize the risk of transmission.
Do not hot desk. Track the use of shared office equipment.
Rearrange the workspace to increase the distance between employees.
Clear your desk at the end of the day to facilitate cleaning by the cleaning staff.
Screen visitors.
Regulate the use of common areas such as the kitchen. Use disposables.
Sort garbage well to avoid re-sorting by the cleaning staff and potentially increasing the chances of contamination.
Communications Perspective from Deborah Hayden, Vice-Chair of the Alternative Investment and Women in Business Committees / Managing Director, Finsbury
In such extraordinary times, it is worthwhile remembering that companies will be judged by their actions. The number one priority must be your employees, while also ensuring that the range of stakeholders is informed of relevant policies and actions.
Clear, easily understood messages are of utmost importance in this uncertain, fast-moving environment. Craft your message through the perspective of your stakeholders to make sure your points are clear to them and tailor the communications accordingly.
Because the situation can change very quickly, prepare for different scenarios well in advance. Develop the necessary checklists, statements, and policies to facilitate seamless implementation when the occasion arises.
Lastly, overcommunicate. It is better to know more than less. Share information often and on as many accessible platforms as possible.
Legal Perspective from Eric Sedlak, ACCJ Vice President / Partner, K&L Gates LLP
Japanese employers are charged with ensuring the working environment is comfortable and safe for its employees. They must go out of their way to create an environment that is safe for everyone. The legal framework allows for the protection of both the individual and group as a whole, which enables the employer to enact measures that an individual may or may not do on their own to keep everyone safe.
While employers can impose safety measures that employees will have to adhere to, they should also be generous with health benefits so that employees are unafraid to miss work. The absence of an ill person at work is perhaps the most effective approach to preserve the well-being of the group.
For companies in Japan, the K&L Gates website has a COVID-19 employment policy guide and fact sheet.
Question & Answer
Are the pros and cons of a company publicly revealing a positive case?
Arguably, there is some form of moral obligation to the stakeholders to help contact tracing. However, in Japan, we do not believe there is a stigma in disclosing a case.
At a minimum, landlords should be informed to be able to take necessary sanitary actions.
From a legal perspective, companies should be wary of not informing others.
Is it difficult to lay off/terminate workers without paying large severance packages? What options are available to businesses in severe revenue declines and do not have the resources to pay large severance packages?
Japan is pro-employee. Exceptions to severance packages may be possible when a company is in severe financial distress. However, it is difficult to say whether coronavirus would count for allowing exceptions.
What kind of contracts can or cannot be terminated due to force majeure?
It will depend on what is included in the force majeure clause of the contract. Few contracts have anything related to pandemics. Potential termination also depends on whether a pandemic prevents a company from performing the contract.
In the event of a lockdown order, do businesses have the flexibility to withhold payment of office-related costs like rent or insurance?
It will depend on the circumstances and whether there is a precedent for a lockdown order.
What is the risk of notifying a client about a COVID-19 incident, given the sensitivity surrounding the individual’s identity and personal information?
In general, Japan is very regarding personally identifiable information (PII). It could be good practice to inform clients about incidents, but companies need to be careful about PII and disclose incidents in a way that does not reveal the identity of the person.
