On 6 March 2023, an amendment to the Fair Work Act will come into effect, aimed at protecting workers, prospective workers, and businesses from sexual harassment. The economic cost of workplace sexual harassment in Australia was estimated at around $3.5 billion in 2018, with lost productivity accounting for approximately $2.6 billion. Employers and business owners bore the largest share of this cost.
Small businesses are particularly vulnerable to sexual harassment due to their informal nature, which can result in personal interactions and unwanted advances. Many lack the resources and expertise to handle complaints effectively. However, an industry-based approach can help prevent sexual harassment, particularly in industries with toxic cultures such as hospitality and construction.
Recent reports have highlighted the prevalence of sexual harassment in the hospitality industry, with 60% of staff experiencing it. Shockingly, 42% of those harassed said it came from their managers or supervisors, indicating a disturbing trend.
Under the new provisions, anyone experiencing sexual harassment can seek compensation and penalties through the Fair Work Commission. Employers must take sexual harassment seriously and have policies and procedures in place to prevent it. They should adopt a zero-tolerance approach to sexual harassment and train their staff to recognize and report it. Employers should also provide a safe and confidential channel for employees to make complaints.
It is essential that all claims of sexual harassment are investigated, regardless of whether they occur outside of work hours or in the workplace. Employers must respect the victim’s perception of the incident and take appropriate action.
Sexual harassment is not just a female problem; it is a societal and cultural issue that must be addressed. Employers who fail to take action will be held accountable under the new provisions. It is time for businesses to step up and create safe and respectful workplaces for all employees.
Written by: Jill Walsh
