Sexual and racial harassment is illegal. It contravenes both the Human Rights Act 1993 and the Employment Relations Act 2000. It could cost you dearly. Damages awarded have been as high as $76,000.00. The average award is around $7,000.00.

In addition most people who are sexually or racially harassed at work, leave. So you could end up writing a cheque and losing an experienced member of staff which will cost you in terms of recruitment and re-training. Let's not forget the effect on the rest of your staff, low morale, lost productivity, increased absenteeism and then there are your legal fees.

If the harassment occurs at work then both the employee who harasses another member of staff and you (the company) could be liable even if you knew nothing about it.

Avoiding these risks is relatively easy. Put in place a sexual harassment policy and procedure. You will then be able to demonstrate that you have taken “such steps as are reasonably practicable” to prevent sexual harassment taking place.

Sexual harassment can occur:

(a) When a request is made of any employee of a company for any form of sexual behaviour leading to:

• A promise of preferential treatment at work
  
• A threat of detrimental treatment at work
  
• A threat about future employment status

1. Sexual harassment can be by a more senior member of the staff, a team member, or one of the company’s customers.
2. Incidents that occur outside work hours and work premises, but with a work connection, may still constitute sexual harassment.
3. It is conduct that has a detrimental effect on the individual’s employment, job performance or job satisfaction.
4. A single act of a sexual nature, be it words or physical behaviour, may if sufficiently serious, constitute sexual harassment.
5. It is conduct subjectively unwelcome or offensive to that person. The test is whether the behaviour is freely and mutually welcomed by both parties.
6. The fact that a person does not mention or complain that certain behaviour is unwelcome or offensive at the time, does not mean that the behaviour is acceptable and that no harassment has taken place, and is no defence later on.

• Sexually offensive comments
  
• Sexual or smutty jokes
  
• Comments or teasing about someone’s alleged sexual activities or private life
  
• Persistent, unwelcome social invitations or phone calls from other employees
  
• Offensive hand or body gestures
  
• Patting, pinching, touching or putting an arm around another person
  
• Pictures or posters or e-mail of a sexual nature such as girlie calendars
  
• Sexual assault or rape
  
  

1. Interview the person who has complained and let them know in advance of the time of an arranged meeting and that that they may bring a support person.
2. DO NOT JUDGE the person.
3. Take full notes and ask the person with the complaint to sign them as a correct record of the discussion.
4. Some people may not wish to take any further action and just want to get it off their chest.
5. Ask for any witnesses who may be able to verify their complaint.
6. Ask them not to discuss the complaint with others.

• Be given training on sexual harassment prevention.
  
• Be expected to promote the policy and inform employees about their rights and responsibilities.
  
• Keep up to date on developments in the area of sexual harassment.
  
• Establish formal and informal complaint procedures.
  
  

• Explanations that complaints of sexual harassment will be handled promptly, privately and in a fair manner.
  
• The contact details of the designated employee to whom staff can go to with inquiries or complaints.
  
• Assurance that all discussions and any investigations are to be conducted in the strictest confidence.
  
• Clearly set out procedures that are understood by both staff and management.