Christmas Parties and Social Events – Risks and Responsibilities for Employers
Christmas work parties are a fantastic way to raise staff morale, to thank staff for their efforts during the year and also to celebrate the end of the year. Unfortunately, the combination of flowing alcohol and high spirits can sometimes be a recipe for disaster. Inappropriate or poor behaviour at a Christmas party can lead to disciplinary action, with potentially serious disciplinary consequences arising as a result.
For employers, the introduction in October 2024 of the new duty under the Equality Act 2010 requiring employers to take ‘all reasonable steps’ to prevent sexual harassment of their employees, means that they can be held liable for the actions of their employees at social events, just as they would be liable for them in the workplace. A staff party is considered to be within the ‘scope’ of work. This liability (known as “vicarious liability”) can be extremely serious and costly for employers, who must ensure that all attendees feel safe and their dignity respected. Where one employee sexually harasses a colleague while at a works party, or where an employee is sexually harassed by another third party (eg someone working at the venue), an employer can be held liable if they cannot show that they have taken all reasonable steps to prevent acts of sexual harassment from taking place.
A Recent Case: Lyons v Starplan Furniture Limited & Others, deals with the situation where an employee was sexually harassed by a colleague during a company Christmas party and who subsequently brought a claim for sexual harassment (among other claims), against their employer. The Northern Irish Tribunal decision in 2023 held that the employer was liable for their employee’s discriminatory harassment. The employer was ordered to pay nearly £19,000.00 to the employee. The Tribunal noted that the employer did not take reasonable steps to prevent acts of sexual harassment from occurring and that there was a failure from the company’s management to provide any guidance to employees regarding the consumption of alcohol or the standards of behaviour expected of them. This was exacerbated by the fact that a manager was providing the alcohol to the employees and that the most senior person at the company was perceived to be drunk.
Tips and Suggestions:
This case demonstrates that an employer must take reasonable steps to prevent any type of staff misconduct occurring at a Christmas party or at other social events. Staff should be reminded in advance of any social event of the standards of acceptable behaviour at the event. The advice should refer to all relevant policies in their Employee Handbook or Office Manual and it should be made clear that although the event is taking place outside of work, they are still representing their employer. Employers should also consider implementing or referring to a ‘Conduct while on Company Business’ policy in their Employee Handbook or Office Manual. Remind employees that certain conduct will be deemed a breach of their employment obligations and that any such breach will lead to disciplinary action and in extreme cases, to dismissal.
Practical steps:
• ensure that there is plenty of food and non-alcoholic drinks available to everyone;
• consider rationing the amount of free or discounted drinks on offer;
• prevent staff drinking and driving by providing contact numbers in advance for local taxis or arrange a minibus for transporting staff home at the end of the evening.
Additionally, an employer should ensure that for any such event, a senior member of staff has responsibility for supervising and overseeing the event.
The above suggestions will help an employer minimise the risks involved with holding a Christmas party or social event and help to ensure that a great time is had by all.
And finally, don’t forget to wish everyone a merry festive season!
