This clause requires an employer (or sometimes both parties in an employment contract) to develop, maintain, and potentially implement a comprehensive plan for preparing employees and workplace operations for natural disasters. The plan typically includes elements such as emergency evacuation procedures, communication protocols, employee training, backup work locations, data backup systems, and continuity-of-operations procedures. The clause matters because it shifts responsibility for disaster preparedness from ad-hoc crisis management to proactive planning, potentially reducing injuries, property damage, and business interruption when natural disasters occur. It also demonstrates organizational commitment to employee safety and business continuity, which can reduce liability exposure and insurance costs.

From an employment law perspective, this clause intersects with employer duties of care and occupational safety obligations. It may require the employer to invest in infrastructure improvements, training programs, and ongoing maintenance of emergency systems. The clause can create legal liability if the employer fails to maintain the plan or if the plan proves inadequate during an actual disaster. Additionally, the clause may impose costs on the employer that weren't originally anticipated, and enforcement mechanisms must be clearly defined—what happens if the employer fails to update the plan, or if the plan fails during an actual emergency?

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Key Recommendation

Negotiate specific, measurable requirements rather than vague obligations to "prepare" for disasters. Define what the plan must include (e.g., "written evacuation procedures, quarterly drills, designated shelter areas, 72-hour emergency supply inventory"), establish a timeline for plan development and updates (e.g., "annually or within 30 days of significant workplace changes"), and clarify who is responsible for implementation and maintenance. Include a "safe harbor" provision protecting the employer from liability if a reasonable, well-maintained plan proves inadequate during an extraordinary disaster. Ensure the clause doesn't impose unreasonable costs by including language like "commercially reasonable preparedness measures" or "in accordance with FEMA/industry guidelines." Consider whether employees have corresponding obligations (e.g., participating in drills, reviewing procedures) and document all preparedness activities to demonstrate compliance.

Frequently Asked Questions

What does this clause mean in simple terms?

This clause requires an employer (or sometimes both parties in an employment contract) to develop, maintain, and potentially implement a comprehensive plan for preparing employees and workplace operations for natural disasters. The plan typically includes elements such as emergency evacuation procedures, communication protocols, employee training, backup work locations, data backup systems, and continuity-of-operations procedures.

Why should I care about this clause?

The clause matters because it shifts responsibility for disaster preparedness from ad-hoc crisis management to proactive planning, potentially reducing injuries, property damage, and business interruption when natural disasters occur. It also demonstrates organizational commitment to employee safety and business continuity, which can reduce liability exposure and insurance costs.

What are my options?

From an employment law perspective, this clause intersects with employer duties of care and occupational safety obligations. It may require the employer to invest in infrastructure improvements, training programs, and ongoing maintenance of emergency systems.

How does this affect small businesses?

The clause can create legal liability if the employer fails to maintain the plan or if the plan proves inadequate during an actual disaster. Additionally, the clause may impose costs on the employer that weren't originally anticipated, and enforcement mechanisms must be clearly defined—what happens if the employer fails to update the plan, or if the plan fails during an actual emergency?

✅ Action Checklist