Top 10 Christmas Party Tips for small businesses

A leading business support agency is warning employers to beware of the pitfalls of hosting the office Christmas party.

Blue Orchid, which advises thousands of firms across the North West, said to prevent breaches of workplace law at the Christmas party it is essential to plan ahead.

Here are their Top 10 Christmas party tips - which seem to be practical, but also highly amusing in some cases!

1. The invite

Do not insist that all staff attend the Christmas party. Christmas is a Christian holiday – so do not pressure someone to attend if they don't want to on the grounds of religion. If the event is out of hours, also remember that some people have family responsibilities that may prevent attendance.

If telling people to bring a Secret Santa gift, ask that all gifts are inoffensive. Some gifts – notably underwear and sex toys – have sparked complaints in the past.

2. Decorating the office

Use a stepladder to put up decorations – not a swivel chair, warned the Trades Union Congress (TUC) and the Royal Society for the Prevention of Accidents (RoSPA) recently. Don't hang the tinsel on computers or other sources of heat; and don't decorate emergency exit signs.

These organisations also warn that your insurance may not cover damage caused by untested electrical equipment – so switch off those tree lights before going home.

3. Free booze

Employers providing free drink or putting a credit card behind a bar should be careful. In one case, three employees of the Whitbread Beer Company got drunk and had a fight after a seminar on improving behavioural skills. They successfully argued that their resulting dismissals were unfair. A relevant factor was that the employer had provided a free bar – and thus condoned their behaviour.

4. Age limits

Keep an eye out for the office junior. Bosses cannot allow under-18s to drink.

5. Tables and photocopiers

Dancing on desks is likely to cause damage to property and people. It amounts to misuse of company property. Make it clear that such activities will not be tolerated or that certain parts of the office are out of bounds on the night of the party.

6. Drugs

Under the Misuse of Drugs Act of 1971, it is an offence for an employer to knowingly permit or even to ignore the use, production or supply of any controlled drugs, from cannabis to cocaine, taking place on their premises. There may also be a breach of the Health and Safety at Work Act 1974.

7. Misguided by mistletoe

Your staff policies on bullying and harassment and discrimination still apply at the office party. Just make sure everyone knows this and knows what they are.

This is one reason why mistletoe is dangerous. A survey reported by ContractorUK found that, while 80% of women would laugh off a pass made by a male co-worker, boss or client, 13% would lodge a complaint.

The laws on discrimination apply at the office party regardless of location. So when one man told a female colleague, "You look worth one" at an after-work leaving event taking place in a local pub, the tribunal had little difficulty in ruling that it was in the course of employment and therefore discriminatory.

Employers can find that they end up paying for unwanted advances between co-workers if tribunals characterise the behaviour as evidence of a culture of victimisation or harassment.

8. Manage expectations

Alcohol makes people say silly things so always avoid staff performance reviews during the office party. In one case, an employee claimed his boss had promised him a higher salary "in due course" during a chat at the Christmas party. His pay remained static so he quit and claimed constructive dismissal. The employer won the case but only because the nature of the promise was vague. It was a lucky escape: a promise made at a Christmas party is still a promise.

A similar issue is the Christmas bonus. If you have paid a discretionary Chritmas bonus for several years, staff can argue that it has become contractual through custom and practice. So if times have been tough and you can't afford to pay a bonus this year, tell staff why you feel unable to pay it and try to agree a solution. Acas suggests that you could offer to pay a proportion of the bonus or stagger payments in the next few months; or you could offer to pay the drinks bill at the Christmas party.

9. Getting home

If a member of staff has clearly drunk too much at the office Christmas party and plans to drive home, the employer needs to take responsibility. The employer has a duty of care to his employees – and because it's the company's party, they must think about travel arrangements. Consider ending the party before public transport stops running; or provide the phone numbers for local cab companies and encourage staff to use them.

10. The morning after

If the party is mid-week and people are expected in work the next day, it is wise to provide plenty of non-alcoholic drinks and food. Before the party, ensure that all staff know that disciplinary action could be taken if they fail to turn up for work because of over-indulging.

Liquid lunches are another risk. If there is urgent work to be done, disciplinary action may be appropriate if staff are late back to the office or intoxicated. But bosses must be careful: a history of festive tolerance could be used as evidence that disciplinary action against an individual is unfair.