The UK has recently introduced a significant change in how businesses are required to address sexual harassment, with new legal duties now in effect as of October 2024. These regulations push employers to take proactive measures to prevent harassment in the workplace.

While there’s a clear financial incentive to comply – compensation awards currently average £37,607, with an additional 25% penalty possible for breaches – the focus shouldn’t just be on avoiding fines. At the core, these changes are about ensuring workplaces are genuinely safe, inclusive, and supportive for all employees. The impact extends beyond compliance – it’s about cultivating a work culture where everyone feels respected and valued.

Sexual harassment in the workplace doesn’t just affect the individuals involved – it can have a ripple effect that impacts the entire organisation. When incidents of harassment are not addressed promptly, the overall work environment can quickly become toxic. Employees who witness harassment or feel that their concerns are not taken seriously may become disengaged, leading to decreased productivity and higher turnover rates. Research and tribunal cases consistently show that businesses that fail to act decisively on these issues suffer not only financially but also from lower employee morale and trust.

Take, for example, the case of Bratt v JGQC Solicitors Limited. A junior legal secretary found herself receiving inappropriate comments and messages from a senior colleague. These behaviours were dismissed as “banter” by others in the firm, but for the employee, they created a deeply uncomfortable and intimidating work environment. After her complaints were ignored, she felt compelled to resign. The tribunal ultimately ruled in her favour, underscoring that what might seem like harmless jokes to some can, in reality, constitute harassment. This case highlights the importance of taking all complaints seriously and creating a workplace where every employee feels heard and respected.

Avoiding the ripple effect

The ripple effect of sexual harassment can extend far beyond the immediate parties involved. For instance, in the Lidl tribunal case, a failure to properly investigate harassment complaints led to a culture where inappropriate behaviour became normalised. Employees who witness their colleagues’ concerns being dismissed can lose faith in the company’s commitment to their wellbeing. As a result, morale can plummet, leading to decreased productivity and increased turnover. This illustrates how crucial it is for employers to act quickly and decisively when issues are raised. Properly addressing complaints not only resolves the immediate problem but also helps maintain the trust and confidence of the wider team.

Employer considerations – training beyond the basics

To truly meet these new legal standards, businesses need to rethink how they address sexual harassment. It’s no longer enough to simply have a policy on paper or hold a one-off training session. Tribunals have been clear: ineffective, outdated, or purely procedural approaches are insufficient. It’s important to take training beyond the basics, helping employees understand the nuances of what constitutes harassment and how they can play a role in preventing it. It’s about fostering a workplace culture where everyone is aware of the boundaries and feels empowered to speak up when they see them being crossed.

Setting clear policies

The Sieberer v Apple Retail UK case provides another important lesson. Here, an employee shared inappropriate photos of a female colleague, leading to confusion over whether it warranted dismissal. The tribunal found that the company’s vague policies left room for misinterpretation, ultimately ruling that the dismissal was unfair due to the lack of clear guidelines. This case serves as a reminder that organisations need to ensure their policies are comprehensive and clearly communicated. Regular training using real-life scenarios can help employees understand what’s acceptable and what isn’t, preventing misunderstandings that can lead to costly legal disputes.

But policies alone are not enough. Employees need to feel confident that they can report any issues without fear of retaliation. Confidential reporting channels are vital for encouraging employees to speak up. When reports are mishandled or dismissed, it can have a chilling effect on the willingness of others to come forward.

Policies and wellbeing

Beyond the legal and compliance aspects, focusing on employee wellbeing is crucial. Harassment can have a profound impact on mental health, leading to stress, anxiety, and even long-term psychological harm. Organisations that genuinely care about their employees’ wellbeing should invest in resources like mental health support, counselling services, and open communication channels. By prioritising the mental health of their staff, businesses can create a more supportive and productive work environment where employees feel valued and empowered.

Leadership plays a pivotal role in setting the tone for how harassment is handled. It’s not enough for policies to be in place – managers and senior leaders need to embody the company’s values and demonstrate zero tolerance for inappropriate behaviour. Ensuring managers have the skills and knowledge to handle complaints effectively is key to fostering trust and confidence. Leaders who actively promote a culture of respect can significantly influence the behaviour of their teams, setting clear expectations and encouraging open dialogue.

As these new regulations take effect, businesses have an opportunity to do more than just tick a compliance box. The changes in the law are a call to action to prioritise creating workplaces that are genuinely inclusive and respectful. Organisations can build environments where employees feel secure and valued by focusing on open communication, clear policies, and robust reporting systems. This isn’t just about avoiding legal consequences – it’s about fostering a culture where people want to work, feel supported, and where their wellbeing is a top priority.

Hayley Saunders, with her long blonde hair and black blazer, smiles warmly in front of window blinds.
Hayley Saunders
HR Technical Consultant at AdviserPlus | + posts

Hayley is a HR Technical Consultant at AdviserPlus. She is part of a team that not only influences the wider debate on the value of employment relations, but is also part of the business development team supporting new and existing clients with ways in which they can add great value to their organisations and its employees.