All reasonable steps: are you ready for the enhanced duty to prevent sexual and third-party harassment?

What is changing?

Since 26 October 2024, employers have had a duty to take reasonable steps to prevent sexual harassment of workers, including by third parties such as customers and clients.

The Employment Rights Act 2025 raises this standard from 30 October 2026, when employers must now take all reasonable steps.

The Act also introduces a separate obligation on employers not to permit third-party harassment of employees. This extends beyond sexual harassment to harassment related to any protected characteristic under the Equality Act 2010 such as race, religion, disability or age.

Prevention, not reaction

Employers must take a proactive and anticipatory approach, identifying where risks may arise and putting measures in place before problems develop.

Factors that may increase risk include:

• customer-facing roles particularly in sectors such as hospitality and retail;
• lone working;
• work-related social events, including upcoming Christmas parties;
• environments where alcohol is consumed;
• travelling for work and overnight stays; and
• workplace power imbalances.

For many businesses, these risks will already be familiar. The important point is that employers must actively identify, assess and address them, rather than waiting for an incident to happen.  

Start with a risk assessment

A risk assessment is likely to be the first step. It should cover both previous incidents and situations that could reasonably arise. Speaking to employees, for example through anonymous surveys or focus groups, can help identify unreported issues.

Different areas of the business may face different risks, so a “one size fits all” assessment is unlikely to be sufficient.

What do “all reasonable steps” look like in practice?

There is no statutory checklist; what is reasonable depends on the employer’s size, activities and identified risks. Measures to consider include:

• regular and meaningful anti-harassment training;

• clear reporting procedures;

• updated anti-harassment and sexual harassment policies;

• communicating expected standards of behaviour to third parties;

• contractual obligations with suppliers and contractors;

• empowering staff to end interactions with abusive customers where appropriate;

• maintaining records of incidents and complaints; and

• regular review of policies, training and risk assessments.

Further guidance is expected

Employers should keep a close eye on developments from the Equality and Human Rights Commission (EHRC), which is currently updating its guidance to reflect the October 2026 changes which we can update on when we know more.

What should employers do now?

Prevention should now be treated as an ongoing, evidence-based process rather than a one-off compliance exercise. Employers should ask whether any further reasonable step was available but not taken.

We recommend that employers;

• Risk assess: Revisit existing harassment risk assessments, identify any gaps and update where needed.
• Review and train: Check that policies and procedures remain fit for purpose, provide refresher training to staff and additional manager training on dealing with concerns and handling complaints.
• Look externally: Consider how employees interact with customers, clients and other third parties, for example through notices of expected behaviour, supplier and contractor terms, and empowering staff to end inappropriate interactions or seek support.
• Keep evidence: Record risk assessments, training policy reviews and the action taken. These records will be important if the employer needs demonstrate compliance, especially if facing an Employment Tribunal claim.

What are the consequences of getting it wrong?

Where a sexual harassment claim succeeds in the Employment Tribunal, compensation may be increased (by up to 25%) if the employer has breached its preventative duty and failed to take all reasonable steps.

The EHRC also has enforcement powers in relation to the preventative duty and can take action against employers that fail to comply.

Harassment allegations can also damage employee engagement, retention, reputation and recruitment.

If you would like advice on how your business can meet the new duty, including a review of current policies, risk assessments or training of staff, please contact a member of our Employment team.