Sexual Harassment Duties Are Changing: Is Your Business Ready?
The existing requirement to take “reasonable steps” will change to a duty to take “all reasonable steps”.
It may sound like a small change, but it raises the standard employers will be expected to meet.
Having a policy in your staff handbook will not be enough. Businesses will need to show that they have identified risks, trained employees and managers, created clear reporting routes and kept evidence of the action taken.
What Is Changing?
Employers already have a legal duty to take reasonable steps to prevent sexual harassment.
From October 2026, they will be expected to consider all reasonable and proportionate steps available to their organisation.
Stronger protection will also apply where employees are harassed by third parties, including:
- customers;
- clients;
- contractors;
- suppliers; and
- members of the public.
For SMEs, this means considering how sexual harassment could arise in the real working environment, rather than relying on a generic policy.
Why This Matters for SMEs
Smaller businesses may have informal management structures and fewer reporting options.
Employees may feel uncomfortable raising concerns about a manager, business owner, important customer or long-standing colleague.
Without clear processes, complaints can be missed, delayed or handled too informally.
The question for employers is no longer simply:
“Did we respond properly when a complaint was made?”
It is also:
“What did we do to prevent the problem from happening?”
Where Could the Risk Arise?
Every workplace is different, but employers should consider risks connected with:
- customer-facing roles;
- work social events;
- business travel and overnight stays;
- lone working;
- workplace messaging groups;
- remote and online communication;
- alcohol; and
- seniority or power imbalances.
Businesses should also consider what employees are expected to do when inappropriate behaviour comes from a customer or another third party.
Can they end a call, refuse service or leave a customer’s premises? Who should they report the incident to, and what action will the business take?
Commercial relationships should never be used as a reason to tolerate harassment.
A Policy Is Only the Starting Point
A written policy remains important, but employers should also be able to show that it has been communicated and applied.
A meaningful preventative approach should include:
- a clear sexual harassment policy;
- workplace-specific risk assessments;
- employee and manager training;
- accessible reporting routes;
- guidance for managers;
- suitable investigation procedures; and
- reliable records.
The steps required will depend on the size and nature of the organisation.
A professional office will face different risks from a hotel, care provider, retailer or business whose employees work alone or regularly attend client premises.
Managers Need Clear Guidance
Managers will often be the first people to receive a concern.
They should know how to listen, record the issue, protect confidentiality where possible and escalate the matter promptly.
Comments such as “it was only a joke” or “that is just their personality” can undermine employee confidence and increase the risk to the business.
Managers do not need to be employment lawyers, but they do need suitable training and access to HR support.
Keep Evidence of the Steps You Take
Good record-keeping may be essential if an employer later needs to demonstrate what preventative action was taken.
Businesses should retain:
- current and previous policies;
- policy review dates;
- risk assessments;
- employee communications;
- training records;
- manager guidance;
- reports and complaints; and
- records of investigations and actions taken.
It can be difficult to prove that something happened if there is no record of it.
Seven Steps to Take Now
1. Review Your Policy
Make sure your sexual harassment policy is clear, current and easy to understand.
2. Assess Your Risks
Identify where harassment could arise within your organisation, including at events, online and away from the usual workplace.
3. Consider Third Parties
Review how employees are protected from inappropriate behaviour by customers, clients, contractors and the public.
4. Check Reporting Routes
Employees should have more than one practical way to raise a concern wherever possible.
5. Train Employees and Managers
Training should reflect the workplace and be refreshed periodically.
6. Review Your Procedures
Make sure complaints can be handled promptly, sensitively and fairly.
7. Keep the Evidence
Record policy reviews, training, risk assessments, communications and other preventative action.
Could Your Business Prove What It Has Done?
If a complaint was raised tomorrow, could you quickly provide:
- your current policy;
- training records;
- a risk assessment;
- manager guidance;
- reporting arrangements; and
- evidence of the action already taken?
If the answer is unclear, now is the time to review your arrangements.
How WorkSmarter Can Help
WorkSmarter helps SMEs keep policies, employee records, training information and supporting documents organised in one secure place.
WorkSmarter Shield also provides practical HR guidance and support, helping managers prepare for employment law changes and respond confidently to workplace concerns.
A free HR review can help you understand what is already in place, identify gaps and prepare your business for the stronger preventative duty.
Book your free HR review with WorkSmarter Shield today.
This article provides general information only and should not be treated as legal advice. Employers should obtain appropriate HR or legal guidance before making employment decisions, handling individual complaints or changing workplace policies.
