Features

Taking festive fun too far

An explanation of the legal ramifications of allowing festive fun to get out of hand

While we might be heading for the first Christmas in years unblighted by Covid-19, employers should be aware of the risks when bringing their teams together for some well-earned seasonal celebrations.

It is important to not get too caught up in the festivities and remember that the Christmas party is essentially just an extension of the workplace.

To protect themselves from unnecessary employment issues afterwards, with the potential financial and reputational damage for the organisation that can follow, employers need to ensure they are prepared in advance.

 

Christmas Parties

Despite the party taking place outside of the workplace and normal office hours, there remains the risk that an employer could be liable for the actions of its employees.

Most concerning from an employer’s perspective is the potential liability for acts of discrimination or harassment when Christmas spirit can cause employees to get easily carried away with the atmosphere.

The sense that inhibitions have been lifted by alcohol, the atmosphere and good times, can lead some to say and do things they would never consider doing within the workplace.

The most likely form of discrimination or harassment witnessed at a typical work-related Christmas party is sexual, but the discrimination or harassment could be on several other prohibited grounds, including race, age and sexual orientation.

Other types of inappropriate behaviour are just as common, such as drink-fuelled aggression directed at colleagues, often resulting from the release of tension that has built up over long periods.

Such behaviour could lead to claims for potentially unlimited compensation against both the employer and the employee responsible.

To lessen the risk, employers should recognise the potential for problems and take the following steps:

  • Invites should go to everyone, including those on family-related leave, working from home, or absent through illness or injury, as not doing so might result in claims of discrimination.
  • When employees can bring partners, do not discriminate on the grounds of sexual orientation or assume all partners will be of the opposite sex.
  • Ensure you have an equal opportunities/anti-harassment and anti-discrimination policy in place and that everyone is aware of what it includes, and that it applies equally to business events outside of the workplace and outside office hours.
  • Remind employees that inappropriate behaviour will not be tolerated and could result in disciplinary action.
  • If hired entertainers tell racist, sexist or offensive jokes and the employer does not fulfil its duty to protect employees from this unwanted conduct, it could be liable for harassment claims.
  • Consider limiting the bar, as it could be argued it is irresponsible to provide unlimited free alcohol to staff and could make it hard to defend any legal action resulting from an act carried out by a member of staff aggravated by alcohol consumption.
  • Consider appointing a senior, responsible employee to stay sober, monitor behaviour and step in, if necessary.

 

Christmas Gifts

It is important employers be mindful of their liability under the Bribery Act 2010 when it comes to gifting and socialising at Christmas.

If employers want to give their employees Christmas gifts, they should be careful to make the gifts inclusive. For example, avoid offering alcohol as there will be employees that do not drink.

For companies wanting to thank their clients for their continued business, lunch at a reasonably priced restaurant may be the most appropriate way.

When it comes to physical gifts, giving useful branded stationery items such as calendars and pens would minimise the risk of any Christmas gifts being misconstrued.

Under the Bribery Act 2010 it is an offence to bribe or be bribed. Bribery is defined as dishonestly persuading someone to act in your favour by inducement, typically by offering money or some other gift of value.

Specific offences were introduced concerning the bribery of a foreign public official and for commercial organisations failing to prevent bribery. Such offences can be committed in the UK or overseas and are effectively strict liability offences.

Commercial organisations can rely on the defence of having ‘adequate procedures’ in place to prevent bribery and corruption. The Ministry of Justice published guidance about the policies and procedures that commercial organisations should implement and set out six principles to underpin any policy. As such, all organisations, irrespective of their size, should train employees on bribery policy, and what is and is not acceptable. An anti-corruption code of conduct should also be made available on the organisation’s website and all documentation should be reviewed regularly.

While the Bribery Act 2010 takes a tough stance on corruption, it is not intended to prevent all forms of hospitality or gifting. Reasonable and proportionate hospitality and gifts are acceptable, especially around Christmas time. It is quite different if a supplier wants to wine and dine a customers’ procurement manager at an exclusive resort in the sun in order to secure their business; this is quite obviously bribery and is illegal.

  • Rowberry Morris Solicitors is a well-established firm of Solicitors with offices in Reading, Staines and Tadley providing professional and friendly services to individuals, families and businesses.