After working hard all year long, the countdown to this year’s work Christmas party can generate a buzz of excitement around the office, as colleagues look forward to letting their hair down and enjoying an evening of celebrations. However, these parties can create a host of potential legal issues that employers must consider before finalising plans.
Tina Chander, employment lawyer at leading UK law firm Wright Hassall, warns: ‘While no one wants to play the Grinch, it is important that individuals are aware of the possible dangers faced during a night of drinking.
‘From an employment law perspective, just because a party takes place away from the premises and outside of standard working hours, that does not necessarily protect organisations from any legal issues that occur.
‘Unfortunately for employers, there is always the potential liability for acts of discrimination or harassment by its staff, which tend to be the most common offences when alcohol is involved. People can sometimes behave in a way they would never dream of when sober, which is when the issues occur.
‘Sexual harassment is usually the most common problem at one of these parties, but instances of discrimination on the grounds of age, race or sexual orientation have been known to occur too – I’m sure we can imagine the unsavoury scenario.
‘Another common issue is physical violence between employees, which is usually triggered when existing workplace tensions come to the surface and something is said after a few drinks.
‘Such behaviour could lead to claims for potentially unlimited compensation against both the employer and the employee responsible. The time and effort required by management in dealing with any grievance and/or disciplinary issues arising from any such incident should also not be forgotten.
‘Incidents such as these are unfortunately all too common and every January, most employment lawyers will be inundated with calls from clients that begin: “There was an unfortunate event at our Christmas party...”.
To lessen the risk of being that client, employers should firstly recognise the potential for problems and take the following steps:
- Everyone must be invited, regardless of whether they are ill or on leave – not inviting certain individuals could result in claims of discrimination;
- When employees can bring partners, do not discriminate on the grounds of sexual orientation and assume all partners will be of the opposite sex;
- Make sure that you have an equal opportunities/anti-harassment policy in place;
- Remind workers before the party that the same code of conduct applies, and that any instances of harassment, discrimination or violence will not be tolerated under any circumstances;
- Tell employees to enjoy themselves and have a good time, but remind them 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 tab. Providing limitless alcohol to employees, without monitoring who is drinking what is irresponsible, and can increase the likelihood of a serious issue occurring;
- Consider appointing a senior, responsible employee to stay sober, monitor behaviour and step in if necessary.
Christmas gifts with a risky price tag
Given the inevitable gifts and invitations to other organisations’ Christmas festivities it is important for employers to be mindful of their potential liability under the Bribery Act 2010. Failing to prevent bribery in the workplace is strict liability, and employers must show it has ‘adequate procedures’ in place to successfully defend against such a case.
Regardless of size, all organisations should have policies in place to remind employees of what is and is not acceptable. Liability arises from both offering and receiving bribes. Reasonable gifts and hospitality, such as a bottle of wine or an invitation to dinner should not raise too much concern, but if employees are whisked away on a private jet, sipping champagne to meet Father Christmas in Lapland, questions are more than likely going to be asked.
A final note for party organisers
If you have been tasked with organising the work Christmas party, then it is only natural to want to impress employees by going the extra mile with plans. After considering all the possibilities, you may decide that a free bar is a good festive gesture that will allow employees to enjoy the night without the worry of paying for drinks.
Remember, as an employer you have a responsibility to look after the wellbeing of your staff, as well as the reputation of your business. Most of the legal issues faced during one of these nights out is largely due to over-indulgence of alcohol, so laying on a free bar could encourage irresponsible drinking and create unnecessary issues for your organisation.
Tina Chander is an associate solicitor in the employment team at leading Midlands law firm Wright Hassall and deals with contentious and non-contentious employment law issues.