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A. It is quite normal for businesses to extend their good will and festive wishes at Christmas time to other businesses with whom they do business. Sometimes companies will give gifts to main clients as a thank you for their continued business.
Whether the gift be a bottle of wine, box of chocolates or something more extravagant, it is advisable that all gifts, or acts of hospitality, that are given in connection with the business are recorded in an organised fashion according to the guidance that accompanies the Bribery Act 2010.
Items that pass from company to company, or from company to client, for example, are under scrutiny since the implementation of the Act which created a criminal offence, amongst other things, for employers who fail to prevent bribery from taking place by anyone acting on behalf of their company.
Gifts and hospitality, where they are not intended to induce or reward impropriety, are not considered to be acts of bribery. Therefore, employers need not worry excessively if the gifts they provide are intended purely to reward past good service.
In light of this, it does not matter whether the gift or hospitality has a high value or is worth just a couple of pounds, as long as the giver is not giving it to induce or reward improper performance.
However, employers should take the time to remind their employees of their anti-bribery ethos, and of any anti-bribery policy in operation.
The following six principles will help you decide what, if anything, you need to do differently.
Proportionality: The nature, size and complexity of your client’s business will dictate their bribery risks. So, a small or medium sized business which faces minimal bribery risks will require relatively minimal procedures to mitigate those risks.
Top Level Commitment: Your client will want to show that they have been active in making sure that your staff (including any middle management) and the key people who do business with your client to understand that you do not tolerate bribery.
Risk Assessment: Think about the bribery risks your client might face. For example, your client might want to do some research into the markets they operate in and the people they deal with, especially if your client is entering into new business arrangements or new markets overseas.
Due Diligence: Knowing exactly who your client is dealing with can help them protect their organisation from taking on people who might be less than trustworthy. Your client may therefore want to ask a few questions and do a few checks before engaging others to represent them in business dealings.
Communication: Communicating policies and procedures to staff and to others who will perform services for your client enhances awareness and can help to deter bribery by making clear the basis on which the organisation does business. Your client may, therefore, want to think about whether additional training or awareness raising would be appropriate or proportionate to the size and type of the business.
Monitoring and Review: The risks your client faces and the effectiveness of their procedures may change over time. Your client may want, therefore, to keep an eye on the antibribery steps they have taken so that they keep pace with any changes in the bribery risks they face when, for example, they enter new markets.
