British employers now face expanded legal liability for harassment at workplace parties and for misconduct by customers under Labour’s Employment Rights Act, prompting warnings that businesses will be forced to police conversations, Slay News reports.
The changes, which took effect Friday, require employers to take “all reasonable steps” to prevent harassment, a higher bar than the previous requirement to take reasonable steps. According to Slay News, behavior once seen as “playful banter” now carries serious legal consequences, and jokes about an employee can legally require intervention. The Equality and Human Rights Commission is preparing guidance reminding employers that their duties extend to work-related social events, including after-hours gatherings where alcohol is served.
Conservatives warn the rules will leave employers facing legal uncertainty, tribunal claims and potentially uncapped compensation. “Labour’s banter ban risks turning bosses into the fun police,” said Shadow Business Secretary Julia Lopez, adding that employers would be left “walking on eggshells” at office Christmas parties. She called the rules “unworkable,” pointed to an OBR warning that the Act is likely to hurt the economy, and said the Conservatives would scrap its “job-destroying elements.”
The law also extends employers’ responsibilities beyond their own staff. Pubs, stores and other businesses can be held liable if workers are harassed by customers, contractors, freelancers, conference delegates or members of the public and the employer failed to take all reasonable preventive steps. Claims can involve protected characteristics including age, disability, race, religion or belief, sex, sexual orientation and gender reassignment, and employers found liable can face tribunal proceedings and uncapped compensation.
The EHRC warned that harassment risks can rise when employees socialize after hours or drink, and reminded employers to plan for risks at Halloween events this week. “The law now requires employers to take all reasonable steps to prevent sexual harassment,” said EHRC Chair Dr. Mary-Ann Stephenson, who said employers must look at where risks arise and act “before incidents happen.”
The legislation, associated with Angela Rayner, also expands union access to workplaces. Unions can request in-person or digital access to workers with 15 working days’ notice, and businesses face substantial fines if they refuse to engage with the process.