The storm may be over, but many businesses in West Virginia are still cleaning up and dealing with myriad issues related to the derecho.
The Charleston Area Alliance hosted a workshop Tuesday morning to help business owners address those issues. The Alliance brought in lawyers, insurance agents, bankers and others to assist business owners and offer advice.
With power outages, water shortages and people unable to leave their homes, Eric Kinder with Spilman, Thomas & Battle said business owners need to know how to handle issues with employees. Now is not the time to stick hard and fast to the employee handbook, he said.
"The one main takeaway I think employers should be aware of at this time, really any time during a crisis, is this is not the moment to be a stickler on exactly the way your employment policies are written, especially as it relates to leave, absenteeism and tardies," Kinder said. "If you've got individuals who are unable to get in to work, give them time off. If they are addressing a crisis at their home – they don't have power, they have a parent, they have a child who needs medical attention, especially in this weather and in this climate - give them time off."
Kinder also pointed out that employers are obligated to keep payroll on schedule. The state takes that seriously, he said.
"Your obligations to make payroll on your regular schedule are very, very important under the law in West Virginia," Kinder said. "That is a primary concern for you. Even if your computers are down, I would say if there is a way to make estimates based on hand calculations, find a way to do that. The state of West Virginia takes that very seriously, and the federal government takes that very seriously for good reason."
The storm, which included 70 mph winds and rain, uprooted trees and caused power outages across the state. Dave Molgaard, Charleston's city manager, said the city has crews out to clear debris. In addition, three packers were available Monday and Tuesday, and, he noted, garbage collection will resume as normal, including July 4.
Molgaard said the city will also give some leniency to businesses who didn't renew documents or pay taxes before the storm hit. June 30 marked the end of Fiscal Year 2012.
"A number of business licenses were to be renewed by that time," Molgaard said. "If you hadn't done that and you're having issues because of the storm, we will give some leeway so people can get their renewals. We're not going to come after you and shut down your business during this period of time, but try to get that to us as soon as possible."
Molgaard said business owners having problems paying fees or taxes should contact the city collector's office and work out a way to make those payments. He said penalties will not be tacked on to late payments until after Aug. 5.
"If you have any questions regarding those issues, I would encourage you to call the department head or the person who is in charge of the issue at the city directly and let them know that you are down and need extra time," he said. "I also encourage you to visit the city website. We will try to update that on a day-to-day basis."
Tim Gibson from Merrill Lynch encouraged business owners to be proactive.
"Hope is not a strategy," he said.
Gibson encouraged business owners to contact financial advisers, brokers and payroll providers as soon as they can to work out a plan for the business' finances.
"They work for you," he said. "Don't be afraid to use them."
Mychal Schultz from Dinsmore & Shohl suggested business owners familiarize themselves with their insurance policies. He also suggested that businesses purchase business interruption insurance, which could help in times of crisis.
Schultz said business owners should get a copy of their policies to see for themselves what property and financial losses are covered. He also said that sometimes damage caused by natural disasters isn't covered. Businesses may also need extra expense provisions if they have to move operations from one facility to another because of power outages or other situations.
As businesses deal with issues related to storm damage, one thing can't be ignored – public image. According to Matt Sutton, vice president at Charles Ryan Associates, even in crisis people are still paying attention to business.
"Right now is the most important time you could be friendly and open," Sutton told business owners.
He said that even if the power is out and people can't access their computers, consumers still talk about businesses and positive or negative service they experience.
"Word of mouth will last in this situation," Sutton said.
He encouraged business owners to be honest with employees and customers alike. He also suggested businesses put together a crisis communication plan and share that with employees. But above all, he said, don't be shady.
"Be honest with people," he said. "This will be a time when your company, your business, is judged. It may not be fair, but it's going to happen."
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