Sexual Harassment at Work: New Employer Responsibilities Now in Force
The rules changed on 30 October 2026. Is your business doing enough to protect its employees?
Having a sexual harassment policy in your staff handbook is a good start, but is it enough?
Since 30 October 2026, employers have faced a stronger legal duty to prevent sexual harassment in the workplace. Businesses must now take all reasonable steps to prevent sexual harassment, rather than simply taking reasonable steps.
And importantly, these responsibilities apply to businesses of all sizes, including small employers.
What's Changed?
The preventative duty was first introduced in October 2024, requiring employers to take reasonable steps to prevent sexual harassment.
From 30 October 2026, that duty became stronger.
Employers are now required to take all reasonable steps to prevent sexual harassment.
Although the change in wording might seem small, the implications for businesses are significant.
Employers need to be able to demonstrate that they have considered the risks within their workplace and taken appropriate preventative action.
Simply having a policy in place or waiting until an incident occurs is unlikely to be sufficient.
It's Not Just About Your Employees
The changes also introduced employer liability in certain circumstances for harassment carried out by third parties.
This can include:
Customers and clients
Suppliers and contractors
Visitors to the workplace
Other individuals employees encounter through their work
For example, if a customer makes inappropriate sexual comments towards an employee, an employer cannot simply dismiss this as part of the job.
Businesses need to consider the risks their employees face when dealing with people outside their organisation and put suitable protections in place.
The third-party protections also extend to certain other forms of harassment covered by equality legislation.
What Does Taking 'All Reasonable Steps' Actually Mean?
There isn't a single checklist that applies to every business.
What is considered reasonable depends on factors including the size of your organisation, the nature of your work, the risks employees face and the resources available.
For example, a small office-based business may face different risks from a hospitality business where employees regularly interact with members of the public.
However, one thing is clear: having a policy sitting in a handbook is unlikely to be enough on its own.
Employers should actively identify potential risks, take steps to reduce them and regularly review whether their approach is effective.
Six Steps Every Employer Should Consider
1. Review Your Policies
Make sure your sexual harassment and dignity at work policies are up to date, clearly communicated and easily accessible to all employees.
2. Carry Out a Risk Assessment
Consider where inappropriate behaviour could occur. This might include work-related social events, customer interactions, lone working arrangements or online communications.
3. Provide Staff Training
Employees and managers should understand what constitutes sexual harassment, how to recognise inappropriate behaviour and how to report concerns.
4. Establish Clear Reporting Procedures
Employees should know who they can approach if they experience or witness harassment. There should also be an alternative reporting route if a complaint involves their manager.
5. Take Complaints Seriously
Any concerns should be investigated promptly and fairly, with confidentiality maintained wherever possible. Appropriate action should be taken following an investigation.
6. Keep Records and Review Regularly
Document the preventative steps your business has taken, including risk assessments, staff training and any incidents reported.
Review your procedures regularly, particularly when circumstances within your business change.
These measures should be tailored to your organisation and its particular risks.
What Happens If Employers Don't Comply?
Failing to meet the preventative duty can have financial, legal and reputational consequences.
Financial penalties
Where an employee successfully brings a sexual harassment claim and the employer has breached its preventative duty, an employment tribunal can increase compensation by up to 25%.
Regulatory action
The Equality and Human Rights Commission (EHRC) has powers to take enforcement action against employers who fail to meet their preventative responsibilities.
Damage to your business
Beyond the legal implications, workplace harassment can damage employee confidence, affect staff retention and harm your business's reputation.
Taking preventative action isn't simply about meeting legal obligations. It's also about creating a workplace where employees feel safe, respected and supported.
Frequently Asked Questions
Does this apply to small businesses?
Yes. The duty applies to employers regardless of size, although what is considered reasonable will depend on the circumstances of each business.
Do we need a separate sexual harassment policy?
Not necessarily. However, having a clear and comprehensive policy is strongly recommended. Businesses should consider whether a standalone policy would be more effective than including the information within a general staff handbook.
Is staff training compulsory?
The legislation does not prescribe one specific training course. However, appropriate training is an important preventative measure and may be necessary to demonstrate that all reasonable steps have been taken.
We've never had a complaint. Does that mean we're compliant?
No. Employers are expected to take preventative action even where no complaints have previously been made. An absence of complaints does not necessarily mean there are no risks.
Does this include Christmas parties and work social events?
Yes. Work-related social events can present risks, even when they take place outside normal working hours or away from the usual workplace.
With the festive season approaching, now is a particularly good time to remind employees of expected standards of behaviour and review arrangements for work-related celebrations.
Is Your Business Meeting Its Responsibilities?
The strengthened preventative duty is now in force, making it important for employers to review their existing arrangements.
Even if your business already has policies and procedures in place, it's worth asking whether they go far enough and whether you can demonstrate the steps you've taken.
VA Business Services can help you review your HR policies, workplace procedures and employment responsibilities, helping you understand your obligations and identify areas where improvements may be needed.
If you're unsure whether your current arrangements are sufficient, get in touch with our team.
Call us: 01642 686414
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