Workplace Harassment and EDI: What Employers Must Know in 2026

Creating an inclusive workplace is no longer simply good practice, it is a legal and commercial necessity. With the introduction of the Worker Protection Act 2024, employers now have a proactive duty to prevent sexual harassment, not just respond when issues arise.

For SME leaders, this means understanding how EDI principles, workplace behaviour, and legal compliance intersect, and putting practical measures in place to reduce risk, protect employees, and safeguard reputation.

An inclusive culture doesn’t happen by accident. It is built through everyday decisions, clear policies, confident leadership, and a shared understanding of acceptable behaviour.

What Does EDI Mean in the Workplace? 

Inclusion is often talked about in abstract terms, but in reality it’s built through everyday behaviours. It means respecting differences, minimising assumptions, and creating an environment where people can contribute fully without fear of judgement. 

Our “frames of reference”, which are the experiences that shape how we see the world, differ widely across generations, backgrounds, and roles. Recognising this helps us understand why colleagues may interpret the same situation differently, and why empathy matters. 

Inclusive workplaces tend to share the same characteristics: 

• Respectful communication 

• Fair decisionmaking 

• Active listening 

• Equal access to opportunities 

• Awareness of how our behaviour impacts others 

The Equality Act 2010 – Key Legal Duties for Employers 

The Equality Act 2010 protects people from discrimination based on nine protected characteristics, including age, disability, race, sex, religion, and sexual orientation. It also defines four types of unlawful behaviour: 

• Direct discrimination – treating someone less favourably because of a protected characteristic. 

• Indirect discrimination – a rule that applies to everyone but disadvantages a particular group. 

• Harassment – unwanted conduct that violates dignity or creates a hostile environment. 

• Victimisation –  unfair treatment because someone raised or supported a complaint. 

These definitions matter because they help us recognise when behaviour crosses a line, even when it’s subtle or unintended. 

Understanding Workplace Bias and Its Impact 

Bias is an automatic preference or assumption that influences how we think and act. It often shows up in small ways: who we listen to, who we interrupt, who we see as “leadership material,” or who we assume will “fit in.” 

Common examples include: 

• Affinity bias – favouring people who feel similar to us. 

• Gender role assumptions – expecting women to take notes or organise admin tasks. 

• Age bias – assuming older colleagues will struggle with technology. 

Bias affects who gets opportunities, who feels heard, and who feels excluded. Left unchallenged, it can damage morale and lead to discrimination claims. 

What Counts as Harassment and Sexual Harassment? 

Harassment isn’t always loud or obvious. It can be subtle, repetitive, or disguised as humour. Examples include: 

• Comments about appearance 

• Sexualised jokes or innuendo 

• Mocking disability or speech patterns 

• Persistent unwanted attention 

• “It’s just banter” that causes discomfort 

Sexual harassment can be verbal, nonverbal, physical, or online. And importantly, it doesn’t need to be intentional to be unlawful. 

For client-facing teams, the law also covers harassment by clients, contractors, and members of the public. 

The Worker Protection Act 2024 – What Has Changed? 

From 2024 onwards, employers must take reasonable steps to prevent sexual harassment and not simply respond after incidents. This includes: 

• Training 

• Clear reporting routes 

• Robust policies 

• Following up concerns 

• Managing client behaviour 

This shift reflects a wider cultural expectation: prevention is everyone’s responsibility. 

Real Tribunal Cases and the Cost of Inaction

Recent tribunal cases show the cost of ignoring inappropriate behaviour. In one example, an 18 year old Lidl employee won £50,884 after persistent sexualised remarks from her manager. In another, an employer was held liable for failing to act on repeated inappropriate comments, resulting in over £15,000 in compensation. 

The message is clear: failing to intervene isn’t just a cultural risk, it is also a legal and financial one. 

The Role of Bystander Intervention in Prevention 

Everyone has a role in shaping workplace culture. Small actions can prevent escalation. Four practical approaches include: 

• Direct – calmly addressing behaviour in the moment. 

• Distract – interrupting or redirecting the situation. 

• Delegate – involving someone with authority. 

• Delay – checking in with the affected person afterwards. 

Intervention doesn’t have to be confrontational. It just has to be intentional. 

Creating a Safe, Inclusive Workplace Culture

A healthy workplace depends on: 

• Clear routes for raising concerns 

• No fear of retaliation 

• Confidentiality 

• Consistent handling of issues 

Policies matter, but culture is built through everyday choices. Inclusion is everyone’s responsibility, and small changes create big impact. 

This session forms part of our wider Workplace Culture and Leadership Training programme, designed specifically for growing SMEs who want to combine compliance with commercial strength.

Speak to us about a bespoke approach for your organisation – book a call with Hazel.