CHRISTMAS party planning moves into top gear this month - but there's a sting in the tail for hundreds of businesses in the south.

Employers are being urged to consider more than just venues and themes for their staff celebrations.

Employment law expert Laura Bowyer, pictured below, from south coast based Warner Goodman & Streat, said that Christmas celebrations were the largest single source of dismissal and sexual harassment claims every year.

She said: "Companies in the south are facing problems far more serious than staff with hangovers.

"The office Christmas party has become a firm fixture in most companies' calendars, but it is increasingly becoming a minefield for those who do not lay down guidelines for staff.''

Laura said that along with menus, dress code and budgets, employers should clarify with staff the acceptable levels of behaviour or potentially face costly, and time-consuming, consequences.

"Drink, drugs and sexual harassment problems are the most likely problems at Christmas parties and companies need to take a responsible attitude.''

Unwelcome advances under the mistletoe can have serious repercussions for employers and harassment on the grounds of sexual orientation is also unlawful. Laura also warned that employers can be held liable for such problems at work-related functions and that being prepared was the key to reducing the chances of any future litigation.

Laura said: "The Christmas knees-up should be enjoyable and fun for everyone but a few precautionary measures now could avoid a legal nightmare at the start of 2005.''

TIPS FOR YOUR CHRISTMAS PARTY:

Ensure staff are aware of guidelines regarding acceptable levels of behaviour. They should be reminded that the disciplinary rules still apply during an office party.

Make personal contact with the organisers at the venue. They should be clear about your instructions on serving drinks to the over intoxicated and dealing with troublemakers.

Senior members of staff should be appointed to monitor the activities of guests, and managers should set a good example.

Issues to consider also include whether or not the time and place of the party prevents some staff attending on racial or religious grounds.

The new disability discrimination laws means that accessibility must be considered to ensure that the venue is suitable for all staff.