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Sexual harassment in the workplace is a serious issue that every employer must address to protect the safety, dignity, and well-being of their employees. While companies often have policies in place to handle harassment among coworkers, challenges can arise when the alleged harasser is a non-employee, such as a contractor, vendor, or customer. In these situations, employers are still obligated to act, ensuring both the employee’s safety and the integrity of the work environment.

Employer Obligation to Act

Employers have a legal and ethical duty to provide a harassment-free workplace under laws such as Title VII of the Civil Rights Act of 1964 and similar state and local statutes. This obligation applies regardless of whether the harassment originates from internal or external parties.

Though companies lack direct disciplinary authority over non-employees, they must still address and mitigate the behavior to prevent a hostile work environment. Failure to act can result in legal liability, increased employee turnover, damaged morale, and harm to the company’s reputation.

Ultimately, employers must prioritize the safety and well-being of their workforce over external relationships.

Best Practices for Addressing Allegations

When a company receives a sexual harassment complaint involving a non-employee, a systematic and professional approach is essential. Here’s how to navigate these situations effectively:

>Take Every Complaint Seriously– The first step is to listen to the employee’s account and respond with empathy, respect, and confidentiality. Ensure the individual feels supported and understands the company’s commitment to addressing the issue.

>Investigate the Allegation– Conduct a thorough investigation, just as you would for an internal harassment claim. Gather facts by interviewing the employee and any witnesses, reviewing relevant evidence (e.g., emails, recordings), and documenting the alleged incident.

>Protect the Employee During the Process– While the investigation is ongoing, take immediate steps to shield the employee from further exposure or interaction with the non-employee harasser. This may involve adjusting schedules, modifying duties, or providing remote work options until the situation is resolved.

>Address the Non-Employee Professionally– When the investigation substantiates the employee’s claim, the employer must engage the non-employee appropriately:

Contractors or Vendors: Start by notifying the contractor’s employer, supervisor, or the relevant point of contact. Communicate the allegations, your findings, and the need for corrective action. Refer to any contractual agreements that require professionalism and compliance with workplace conduct standards.

Customers: Address the situation with sensitivity while reinforcing boundaries. Explain the allegations and the company’s policies on sexual harassment. Depending on the severity of the behavior, consider restricting access to the premises or permanently severing the relationship with the customer.

>Implement Corrective Measures– Based on the outcome of the investigation, implement measures to prevent future incidents. These might include:

  1. Prohibiting the contractor or customer from interacting directly with the affected employee.
  2. Revising or terminating business agreements with the contractor or vendor.
  3. Placing restrictions on the customer’s access to company facilities or services.

>Follow Up with the Employee– Once the matter is resolved, communicate the steps taken to the employee who filed the complaint, without breaching confidentiality.

>Review Policies and Train Staff– If the incident reveals gaps in your policies, update protocols to clarify the company’s approach to harassment by non-employees. Provide training to employees and managers so they understand how to identify, report, and handle such incidents.

Balancing Employee Safety and External Relationships

Handling harassment allegations against non-employees can be challenging, particularly if the harasser is a strategic partner or key customer. However, prioritizing employee well-being should always come first.

Protecting your team not only minimizes legal risk but also demonstrates ethical leadership, building trust among staff and fostering loyalty and productivity. Though addressing misconduct with external parties may feel uncomfortable, doing so professionally and transparently can often preserve business relationships while setting clear boundaries.

However, if the behavior persists or creates ongoing problems, employers should be prepared to terminate the relationship to preserve workplace integrity.

Legal and Ethical Implications

Employers who fail to address harassment by non-employees can face liability if the employee files a lawsuit for workplace discrimination or hostile environment claims. Beyond legal repercussions, companies risk damaging their reputation and losing employee trust.

A Complex Issue

Sexual harassment involving non-employees is a complex issue but must be taken as seriously as internal incidents. Employers are obligated to investigate, protect their employees, and address the behavior with the contractor, vendor, or customer accordingly. By acting decisively, professionally, and transparently, companies demonstrate their commitment to creating a safe and respectful workplace for all employees.

Marzano Human Resources Consulting

Marzano Human Resources Consulting works with businesses on developing a strong, well-crafted sexual harassment policy.  When a complaint is made, we help mitigate risk by conducting a thorough investigation.


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