Logging Entertainment And Hospitality Expenses

Our CEO, Michael Sheehan has previously written on the implications of the Bribery Act for employee expense claims.

In particular, there is now an obligation on Company Directors to be able to demonstrate that they have systems and procedures in place aimed at preventing acts of bribery from happening.

A practical example of how this might be done is illustrated in the screenshot below (click to enlarge) which shows an Entertainment & Hospitality Log form which an organisation would use to ensure that employees are capturing appropriate details regarding hospitality expenses. This form could either be setup as a form separate from the standard expense claim form or alternatively some or all of the fields used in the form could be incorporated into other forms being used in the system.

Entertainment And Hospitality Log Form To Ensure Compliance With The UK Bribery Act

We have annotated each of the key fields on the form to illustrate the key objectives:

1. Entertainment Details – In this field the employee would enter a summary of the hospitality or entertainment provided.

2. Client Name – The name of the organisation that the entertained employee belongs to.

3. Client Role – This is an important field as it is used to detail the grade of the employee being entertained. This is important because it can be used in combination with the Value field to trigger an alert (for example if a high level of expenditure took place for a relatively low paid decision maker.

4. Employee Name – The name of the entertained employee.

5. Notes – Some further information about the event or the entertainment.

6. Value – The total cost of the entertainment.

7. Warning – In this example a warning is being triggered because the total amount of the entertainment exceeded the £1, 000 limit imposed in this fictitious company.