Christmas Party Harassment: Employer Liability and How to Prevent It

The office Christmas party is a welcome opportunity for colleagues to relax and celebrate the end of the year. However, and unfortunately, it is also one of the highest-risk events for complaints of sexual harassment, harassment and other misconduct. Alcohol, a more informal environment, and reduced inhibitions can lead to behaviour that crosses boundaries – and employers can potentially be vicariously liable for what happens.

Why Christmas Parties Increase Harassment Risks

• Alcohol lowers inhibitions and impairs judgement.
• Blurred lines between work and socialising can create confusion about what is acceptable.
• Power dynamics (for example, senior staff attending) can make inappropriate conduct more serious.
• Third parties such as partners or external guests may also be involved.

Employer Liability and Legal Duties Under the Equality Act 2010

The Equality Act 2010 makes harassment and sexual harassment unlawful.

Sexual harassment is defined as unwanted conduct of a sexual nature and can include unwelcome sexual advances, inappropriate touching, or sexual jokes. The conduct is unlawful if its purpose or effect is to violate a person’s dignity or create an intimidating, hostile, degrading, humiliating, or offensive environment. It also includes less favourable treatment because a person has rejected or submitted to unwanted conduct of a sexual nature.

Harassment is unwanted conduct related to a protected characteristic (age, disability, gender reassignment, race, religion or belief, sex, or sexual orientation) that violates a person’s dignity or creates a hostile environment. Offensive jokes or comments can constitute harassment.

Importantly:

• Employers can be vicariously liable for harassment at a Christmas party, even if it takes place outside the office and outside normal working hours.
• Employers have a legal duty to take reasonable steps to prevent sexual harassment of their employees. This proactive duty requires employers to anticipate risks, develop clear anti-harassment policies, provide training, and establish effective, confidential reporting procedures.

How Employers Can Prevent Harassment

1. Pre-event reminders – Send a short, neutral email reminding staff that normal standards of behaviour apply, that inappropriate conduct will not be tolerated, and that alcohol should be consumed responsibly.
2. Brief managers – Ensure managers understand their responsibility to model appropriate behaviour.
3. Safeguarding / risk assessment – Provide non-alcoholic options and ensure safe travel arrangements at the end of the night.
4. Training – Ensure staff training is up to date so employees understand what is and is not acceptable.
5. Policies – Check that all policies are up to date and that employees are aware of how to raise concerns.

Handling Harassment Complaints

If any issues arise, follow up quickly. Even a single inappropriate comment can constitute harassment if it meets the legal test. Handling matters sensitively and promptly can prevent escalation and reduce legal risk. Employers should:

• Treat all complaints seriously and address them promptly.
• Follow the usual disciplinary and grievance procedures, and investigate while memories are still fresh.
• Consider suspension only where necessary and appropriate.

Conclusion

Taking a few proactive steps now can significantly reduce the risk of incidents occurring. Moreover, it helps demonstrate that the employer has taken “all reasonable steps” to prevent harassment, which may provide a statutory defence if an employee later alleges that the employer is liable for the events that took place.

Are you an employer looking for legal support or guidance? Reach out to our Employment and HR Law team.