A FTSE SMALL CAP Deputy Company Secretary writes...
We are reviewing our Corporate Gifts and Hospitality Policy and are considering whether to widen the scope of who the policy should apply to. The scope of our current policy extends to employees only; however, I have seen examples where this has been widened to include “…employees and all those acting on our behalf” or providing an extensive list of categories that includes levels/grades within the business, plus third parties such as consultants, contractors, joint venture partners, advisers, agents and suppliers.
What is the scope of your policy, how do you monitor compliance with the policy (particularly in terms of non-employees), and would you be happy to share your policy with us please?
(As usual, I would be happy to act as ‘post box’ for this query, should you have a policy you are willing to share – but not post openly. Please send a copy to me at: dm@equitycomms.com and I will forward. Thank you. David Mensley)
We cover Gifts and Hospitiality in our Code of Conduct and Supplier Code of Conduct to cover all those you’ve mentioned. There are policies for each topic/area in these Codes of Conduct too. We have a Gifts and Hospitality register. Anyone acting as an agent is also required to undertake the same compliance training as an employee.
As gift and hospitality measures were introduced largely as a control to mitigate ABC risk and be one [of many] measures required to demonstrate an adequate procedures defence, I’d suggest the Bribery Act and its guidance would be a good place to set the base line of who ought to be covered. If there’s a risk that others/third-parties acting on your behalf could create a liability for you, I’d think that a good indicator that the policy (or some other, externally focussed measure, such as a supplier code of conduct) should seek to regulate the behaviour of those third parties.
I agree it needs to cover all those working on behalf of the company. We also have an agents policy as we need to make this as wide as possible.
Kind regards
Helen
Ours applies to our employees and ‘anyone acting on our behalf’. I think with the new Failure to Prevent Fraud legislation imminent, it would be wise to have a catch all statement such as this.
Ours applies to all individuals working for the organisation or on its behalf in any capacity, including employees at all levels, directors, officers, contractors, temporary staff, agency workers, seconded workers, volunteers, interns, agents, contractors, external consultants, third-party representatives and business partners.