As the festive season approaches, many employers are planning their annual Christmas celebrations. While the office Christmas party can be a great way to thank employees and boost morale, it also carries legal risks if not handled carefully. From vicarious liability to health and safety issues, and more recently, new legislative duties on preventing sexual harassment, there’s a lot to consider.
This article outlines the main risks and the proactive steps employers can take to ensure the celebrations remain both joyful and compliant.
Legal Risks for Employers
Office parties are generally considered an extension of the workplace, which means that employers can be held vicariously liable for the actions of their employees during such events – even if they take place outside of working hours and off-site. Legal risks include:
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Harassment and Discrimination: Employers may be liable for acts of harassment or discrimination on the grounds of sex, disability, race, religion or belief, sexual orientation, or age.
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Health and Safety Breaches: Injuries occurring at the event may expose employers to claims if steps weren’t taken to mitigate foreseeable risks.
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Negligence or Misconduct: If inappropriate or unlawful behaviour occurs – such as fights, drink-driving, or drug use – the employer may be held accountable in certain circumstances.
New Legal Duty: Preventing Sexual Harassment
Under the Worker Protection (Amendment of Equality Act 2010) Act 2023, which came into force in October 2024, employers now have a positive legal duty to take reasonable steps to prevent sexual harassment in the workplace – including at work-related events like the office party.
Failure to meet this duty may lead to increased compensation in employment tribunal claims. Practical steps to comply include:
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Updating and circulating anti-harassment policies;
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Providing training or briefings on appropriate conduct;
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Taking swift disciplinary action in the event of a complaint;
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Ensuring senior staff model respectful behaviour.
Christmas Party Dos and Don’ts
To reduce the risk of post-party problems, employers should consider the following:
Do:
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Remind employees in advance that the same standards of conduct expected during work apply at work-related social events.
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Clearly communicate that disciplinary and grievance procedures may be invoked if behaviour falls below expectations.
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Reiterate policies around alcohol consumption, drug use, and respectful behaviour.
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Highlight that anti-harassment policies apply to all employees – and ensure these are accessible and up to date.
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Encourage responsible drinking and provide non-alcoholic options.
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Ensure invitations are inclusive and non-discriminatory (e.g. include same-sex partners).
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Risk assess the venue for health and safety compliance, including adjustments for disabled staff.
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Provide food options that accommodate religious, cultural, and dietary needs.
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Nominate senior staff to discreetly monitor behaviour and intervene where necessary.
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Offer guidance or support with transport home to reduce the risk of drink-driving.
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Follow up on any complaints promptly, investigate thoroughly, and take appropriate action.
Don’t:
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Don’t install mistletoe or encourage behaviour that could lead to allegations of sexual harassment.
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Don’t promote excessive drinking through open bars or drink challenges.
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Don’t ignore allegations of inappropriate behaviour or brush them off as “just a bit of fun.”
Conclusion
The office Christmas party should be a celebration, not a source of claims or disciplinary issues. By planning ahead, reminding staff of behavioural expectations, and taking proactive steps to create a safe and inclusive environment, employers can enjoy the festivities while staying on the right side of the law.
For further advice on employment law issues or to ensure your policies are up to date ahead of the festive season, please contact:
Tom Evans
Head of Employment & HR
employment@dtmlegal.com
