Gifts and Hospitality – What does your policy say?

We read a news article last week, that got us thinking about Gifts and Hospitality within the workplace and policies and guidance around them.

Did you see the article?

Background

Mr Spiers (63) a street cleaner in Beckenham had built up good relationships within the community, so much so that the local estate agent started a fundraising page for him. In discussions with Mr Spiers, she had realised he had only been on holiday abroad once in his lifetime and that he was saving to go again.  She reached out to the local community.

“As an integral part of our Beckenham village, Paul is adored by all”

“Giving him this incredible gift would be a heartfelt way to show our appreciation for everything he does.

“Let’s come together to make this dream happen for someone who truly deserves it.”

A grand sum of £3,000 was raised.

When Mr Spiers was informed of the amount of money that had been raised, he cried. However, his employer said he was not allowed to accept the money as they have a clear contract with Bromley council whereby workers are prohibited from accepting any monetary gifts or incentives beyond their regular salary.

A spokesperson for the company said “Unfortunately on this occasion, we were not made aware of the fundraising and were therefore unable to work together to find the most appropriate way to recognise Paul.

“Our contract with Bromley Council does not permit our staff to accept any monies or incentives outside of agreed pay structures.

“We have agreed with Paul that we will match the amount raised as of Friday 9th August to be donated to a charity of his choice. **

Policies and Procedures

Speaking more generally about gifts and hospitality policies, within SME’s there is usually a tokenistic value allowed, whereby employees are allowed to receive small gifts, which are required to be recorded in a log.

Giving and accepting gifts and hospitality has a role in facilitating business relationships and one of the main purposes of a policy is to define appropriate rules and criteria to avoid the perception of corruption.   Many companies have a value or amount in which they are allowed to spend on gifts and hospitality within a budget year.

Larger organisations and Local Authorities, however, do have a much stricter policy and process in place, which clearly was adhered to on this occasion.

When was the last time you reviewed your gifts and hospitality policies or guidance? Are they fit for purpose for your industry? Are you confident your employees know and understand what is expected of them with regards to said policies? Would you and your team benefit from a refresher/reminder about expectations.

We are always happy to advise and draft policies procedures which are reflective of you and a company and relevant for your sector.

** It appears that a well-known holiday company jumped in and have suggested that Mr Speirs has “Won” a holiday – how is that for PR and Marketing?