Code Corner:

The Do's and Don'ts of Gift Giving

Holiday time is fast approaching and many of us have begun to think about gifts for our friends and families. Thoughtful gifts help us let others know how much we appreciate them and their support. However gifts in the workplace have to be handled with special care.

Any time something of value is exchanged at work there is a potential for perceptions of conflict of interest or favoritism. Personal gifts (those you pay for) are generally acceptable but should never be expected or requested. The costs of such gifts should generally be modest and appropriate to your relationship. Gifts to bosses are discouraged but when you feel such a gift is appropriate it should be an inexpensive token of appreciation.

Employee recognition and reward are important to ITT. We have many programs to recognize employee achievement and career milestones (e.g., service anniversaries, retirement, etc.). Many locations also celebrate local holidays and events. Where ITT funds are used in support of these activities some restrictions apply:

• All such activities and gifts should be approved by your management.
• Costs of the events and gifts should be appropriate to the nature of the activity. Extravagance should be avoided.
• ITT funds may not be used to purchase personal gifts between individual employees (e.g., retirement, birthday or holiday presents).
• Gift and award programs (except for milestone events) should not include executive employees.    

Employees may not use their own or ITT funds to;

• Support activities or purchase gifts intended to influence management decisions.
• Associate ITT with events contrary to the "tolerance" section of our Code of Corporate Conduct.
• Create any appearance of favoritism among employees.

These restrictions do not apply to programs established by corporate policy. Local guidelines should be established identifying acceptable events and gifts (e.g., departmental lunches, milestone and holiday gifts, etc.) Your local Human Resources department can help determine if a gift or event is appropriate and what approvals are required.

 

When Showing Appreciation, Offer Appropriate Rewards

My team has done a terrific job on a project critical to our local business. They put in long hours and never complained. I would like do something special for the employees and their families to show my and ITT's appreciation. Are there any Code of Corporate Conduct issues I need to consider?

Answer: First, thanks for asking the question. Asking for guidance is the best approach when you are not sure how to handle a difficult decision.

It sounds like you have a great team and ITT should do something to show our appreciation for their efforts above and beyond their normal jobs. We must, however, be careful to offer appropriate rewards. In general these rewards include recognition during established award programs or those offered as part of existing incentive programs. Any extraordinary award (ex. travel, expensive gifts etc.) requires approval from your Management Company President. More modest recognition or rewards outside of established programs should be discussed with and approved by your local management. In this case a nice lunch or dinner might be the appropriate reward with management approval. One extra caution, you should never personally benefit from rewards to your employees.

Send your questions and comments to codecorner@itt.com.