With awareness of religious diversity, legal liabilities, company image, and financial shortfalls, companies may wish to rethink traditional holiday parties.
Most companies realize that a "Christmas party" is not acceptable in a diverse workplace. However, simply changing the name to "Holiday party" does not address many of the concerns. If Santa visits with a bag of gifts and strains of "Silent Night" fill the air, it is still unmistakably a Christmas party. While this may work for a few private businesses, it is often inappropriate. Most workplaces employ individuals whose religious beliefs forbid them from gift-giving and receiving, from attending secular events if they do not personally partake. To avoid scheduling business events on days that would conflict with client or employee Holy Days, your workplace may wish to post Diversity Calendars which can be purchased or created by
committees 
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In additional to causing religious discomfort, there are legal concerns such as liability for intoxicated employees driving form the party, the unwanted sexual advances that may accompany some party atmospheres. Another difficulty that arises more often in this situation is the employee or employer who makes inappropriate comments that will not be forgotten on Monday morning.
The cost of providing a Holiday party can be staggering, If clients are invited, they may assume they indirectly cover the cost of an extravaganza. Employees may wonder why they can not order the new equipment which would make their work more effective, but the company can host a lavish party. Expecting employees to purchase gifts to exchange or to contribute to an employer's gift may cause financial burden for some.
All of these concerns may encourage businesses to rethink the holiday party concept. Perhaps an early January New Year's breakfast which celebrates a successful past year, shows gratitude for employee contributions to this success, and unveils plans for a prosperous new year would be more welcome. Other suggestions are hosting an event at a different timeof the year such as a family picnic or a celebration of a company milestone.
The following information will be of assistance when considering hosting a company party: