Whether a company becomes the target of a cyber attack or operations are interrupted because its own workforce or that of a supplier is absent due to illness, there are a variety of scenarios that challenge a company’s emergency and crisis management. Effective business continuity management enables companies to prepare for crises and, in particular, to clarify in advance legal issues that regularly arise in crisis management. In the following, we would like to draw your attention to some useful crisis prevention measures and their legal implications, and present practical approaches to solving them.
If supply bottlenecks are to be feared in the short term, supply chains must be structured as far as possible to withstand crises. First and foremost, this means that companies should immediately look for alternative providers. However, it should be borne in mind to check the existing contracts to see whether exclusivity agreements, special termination rights or contractual penalties make it more difficult to commission new suppliers or represent an economic risk.
Coordinate with your works council at an early stage on measures requiring co-determination that may have to be implemented in the event of a crisis. From a business perspective, it may be appropriate in individual cases to introduce short-time working, assign employees to other tasks or temporarily change the contractually agreed place of work (e.g. home office). It is true that negotiations between the employer and the works council are reluctant to deal with scenarios that seem unlikely to occur. However, experience also shows that negotiations are made considerably more difficult when there is immediate pressure to act and events in the company are happening at the same time.
Responsibilities and roles must be assigned clearly, without overlap and without gaps. The responsible employees must be carefully selected in advance according to competence and instructed on the emergency concepts. Only in this way can a BCM system meet the requirements of a legally effective delegation.
Stuttgart Site Manager
Head of Compliance & Corporate Criminal Law
tel: 0711 781923418
tel: +49 30 530199125
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