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This Private Members Bill extends employers liability as follows:
Currently, an employer is vicariously liable for the acts of its staff if they sexually harass another worker and the employer has failed to take reasonable steps to avoid this. Under the Bill, employers will be under a proactive duty to take these reasonable steps to prevent sexual harassment occurring. If they do not and an act of harassment takes place, the compensation for a worker’s successful Tribunal claim will be uplifted by up to 25%. This new duty can also separately be enforced by the Equality and Human Rights Commission against employers.
Under the Bill, employers can potentially be liable for harassment of employees by third parties (e.g. customers or clients). This includes third parties over whom the employer has no direct control. Liability will be triggered on the first incident of harassment by a third party if the employer has failed to take all reasonable steps to prevent it. This liability will apply regardless of whether the employer has approved, or is even aware of, the actions of the third party and covers all types of harassment (such as racial, sexual or on grounds of disability).
Although this Bill passed it’s second reading – and has been backed throughout by Government, it has faced opposition in the Lords from backbench (Tory) peers. They are likely to table a number of amendments. If this happens, there will not be enough time left to complete the necessary legislative stages.
We think it is a case of ‘watch this space’ for this Bill. Government could yet save it – but we don’t recommend you hold your breath!
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