Businesses are often quick to focus on preventing inappropriate behaviour between colleagues, but what happens when the person causing the problem is a customer, client, contractor, supplier, patient, student, or member of the public?
For many organisations, particularly those working in retail, hospitality, healthcare, education, recruitment, leisure, and customer service, the greatest risk of sexual harassment at work can come from outside the organisation.
Recent changes in UK legislation have significantly strengthened employer responsibilities, and the Employment Rights Act 2025 is set to increase those obligations further. Employers can no longer afford to take a reactive approach.
As workplace culture and employee wellbeing continue to move up the business agenda, understanding how to prevent and respond to third-party harassment is now a crucial part of effective HR compliance.
“Creating a safe workplace means protecting employees from harassment, regardless of where it comes from.”
What Is Sexual Harassment?
Under the Equality Act 2010, sexual harassment is unwanted conduct of a sexual nature that has the purpose or effect of violating someone’s dignity or creating an intimidating, hostile, degrading, humiliating, or offensive environment. This protection applies to employees, workers, and many job applicants. [gov.uk], [acas.org.uk]
Sexual harassment can include:
- Unwanted sexual comments or jokes
- Inappropriate messages or images
- Unwanted touching
- Sexual advances
- Suggestive remarks
- Intrusive questions about someone’s personal life
- Repeated requests for dates after being refused
Importantly, behaviour can still amount to harassment even if it was intended as a joke or “just banter.”
The Hidden Risk: Third-Party Harassment
Many employers automatically think of sexual harassment as something that occurs between colleagues. However, in reality, employees are often exposed to inappropriate behaviour from people who do not work for their employer.
Third parties can include:
- Customers
- Clients
- Patients
- Service users
- Students
- Contractors
- Suppliers
- Conference attendees
- Members of the public
This issue is particularly common in customer-facing industries where employees may feel pressure to tolerate inappropriate behaviour to avoid damaging customer relationships or affecting business revenue.
The Current Legal Position
Since 26 October 2024, employers have had a proactive duty to take reasonable steps to prevent sexual harassment in the workplace under the Worker Protection (Amendment of Equality Act 2010) Act 2023. Employers are expected to anticipate risks and take action before incidents occur rather than waiting for complaints to arise. [gov.uk], [acas.org.uk]
The law also expects employers to consider harassment risks involving third parties and take preventive measures where appropriate. Employers should assess workplace risks, provide training, implement policies, and respond effectively to incidents. [acas.org.uk], [gov.uk]
Failure to meet these obligations can increase legal and reputational risks and may influence tribunal outcomes if a claim is successful. [acas.org.uk], [gov.uk]
What Is Changing Under the Employment Rights Act 2025?
The Employment Rights Act 2025 introduces significant changes expected to take effect on 30 October 2026.
Under the new legislation:
- Employers will be required to take all reasonable steps to prevent sexual harassment.
- Employers may become liable for harassment committed by third parties such as customers or clients unless they can demonstrate they took all reasonable preventative measures.
- Protection will extend beyond sexual harassment to cover harassment linked to other protected characteristics under the Equality Act 2010. [acas.org.uk], [eversheds-…erland.com], [business.gov.uk]
The addition of the word “all” is important. It signals a stronger expectation that employers will actively identify risks, implement controls, monitor effectiveness, and continuously review their approach. [acas.org.uk], [eversheds-…erland.com]
“The question is no longer whether harassment has occurred. The question is whether the employer did everything reasonably possible to prevent it.”
Real-Life Examples
Example 1: Hospitality
A waitress repeatedly receives inappropriate comments from a regular customer. Management dismisses the issue by saying, “He’s harmless, just ignore him.”
Under the evolving legal framework, this response may not be sufficient. Employers should investigate concerns, support the employee, and take steps to address the customer’s behaviour.
Example 2: Healthcare
A receptionist is subjected to repeated sexual comments from patients attending appointments.
While healthcare environments present unique challenges, employers should still assess risks, train staff, implement reporting procedures, and establish clear escalation processes.
Example 3: Recruitment and Professional Services
A client sends inappropriate messages to an employee after work meetings.
The employer should consider whether client conduct policies, reporting mechanisms, and management intervention are required to protect staff.
In each example, the focus is on prevention rather than reaction.
Practical Steps Employers Should Take Now
Even though some Employment Rights Act 2025 provisions are aimed at strengthening future obligations, employers should begin preparing immediately.
- Conduct a Risk Assessment
Consider:
- Customer-facing roles
- Lone working
- Work-related travel
- Conferences and events
- Alcohol-related functions
- Seniority and power imbalances
Certain sectors may have a higher likelihood of third-party interactions and therefore a higher risk profile. [acas.org.uk], [acas.org.uk]
- Review Policies
Your anti-harassment and bullying policies should clearly state:
- Harassment from third parties will not be tolerated
- Reporting procedures
- Management responsibilities
- Investigation processes
- Potential actions that may be taken against customers or clients
- Train Employees and Managers
Training should cover:
- Recognising sexual harassment
- Reporting concerns
- Bystander intervention
- Handling customer misconduct
- Escalation processes
Managers, in particular, should understand their responsibilities and how to respond appropriately when concerns are raised.
- Create Clear Reporting Channels
Employees should know:
- Who to report concerns to
- How incidents will be handled
- What support is available
- How confidentiality will be managed
A reporting process that is simple, accessible, and trusted is more likely to encourage early intervention.
- Keep Records
Document:
- Complaints received
- Actions taken
- Training completed
- Risk assessments
- Policy updates
Good record-keeping may help demonstrate compliance if an Employment Tribunal claim arises.
What Employees Should Know
Employees should feel confident that they have the right to a safe working environment.
If you experience sexual harassment from a customer, client, contractor, or member of the public:
- Report the incident as soon as possible
- Keep records where appropriate
- Follow your employer’s reporting procedure
- Seek support from HR or management
- Consider external guidance if concerns are not addressed
Nobody should feel they have to tolerate inappropriate behaviour as “part of the job.”
Final Thoughts
The conversation around sexual harassment at work has evolved significantly in recent years. Today’s expectations go far beyond simply reacting to complaints. Employers are expected to anticipate risks, create safe workplace cultures, and take meaningful action to protect their people.
With the strengthened requirements under the Employment Rights Act 2025, organisations that proactively review policies, train managers, assess risks, and address third-party misconduct will be in a far stronger position than those that wait until a complaint is made.
For employees, these legal changes represent an important step towards safer, more respectful workplaces where concerns can be raised confidently and addressed appropriately.
Need Advice?
If you are unsure whether your organisation’s policies, training, investigations, or reporting procedures are compliant with current legislation and upcoming changes under the Employment Rights Act 2025, seeking specialist HR advice can help identify gaps before they become legal or cultural issues.
A proactive approach today could help prevent complaints, Tribunal claims, reputational damage, and employee turnover tomorrow.
Do you have any questions about today’s blog, need help in becoming legally compliant with contracts/policies or can we support you in taking away any people pains to give you peace of mind?
If you answered yes to any of the above, just give us a call at CUBE HR on 01282 678321, or book in a FREE 30 Minute HR Health Check here FREE HR Health Check and we’ll happily give your business a full HR overview with our personal recommendations absolutely FREE!
Why not also check out last weeks blog When Workplace Banter Goes Too Far.
We also have a YouTube channel with loads of handy videos outlining various HR related scenarios.
