IKEA Enters into Legal Agreement to Improve Sexual Harassment Practices
IKEA UK has entered into a 'section 23 agreement' with the Equality and Human Rights Commission (EHRC). The agreement follows a complaint from a former employee about the company's approach to sexual harassment.
What Is a Section 23 Agreement?
A section 23 agreement is an agreement between the EHRC and an organisation, under section 23 of the Equality Act 2006. Under a section 23 agreement, the organisation will undertake not to commit an unlawful act. In exchange, the EHRC will not take enforcement action against the organisation.
Section 23 agreements are binding, although they can be varied or terminated at any time. If the EHRC thinks an organisation has failed to comply, or is likely not to comply with a section 23 agreement, it can apply to the county court for an order requiring compliance.
Why Did IKEA Enter into a Section 23 Agreement?
One of IKEA's former employees made a complaint of sexual harassment and assault. Following the complaint, IKEA has committed to reviewing its management of sexual harassment issues and how it meets its obligations under the Equality Act 2010. Under the agreement, IKEA has undertaken to communicate its zero-tolerance approach to sexual harassment to all staff. It has also agreed to review its policies and processes for handling complaints. It will train all its line managers and HR staff on the improved policies.
Are Other Organisations Entering into Similar Agreements?
News of IKEA's section 23 agreement comes shortly after the fast food chain McDonald's entered a similar agreement. In the case of McDonald's, it entered into the agreement in response to concerns about its handling of staff sexual harassment claims. Under its section 23 agreement, McDonald's has undertaken to communicate a zero tolerance approach to sexual harassment, to conduct a workplace survey, to enhance its policies and procedures, and to provide workplace training.
Learning Points
Two high profile employers have now entered into section 23 agreements in quick succession. In tandem to this, the Government is supporting the Private Members' Bill, the Worker Protection (Amendment of Equality Act 2010) Bill. This Bill will create employer's liability for third-party harassment. It will also introduce a statutory duty on employers to take all reasonable steps to prevent sexual harassment of their employees.
The effective management of sexual harassment in the workplace is under the spotlight. Employers may wish to take this opportunity to review policies, procedures and workplace training in order to ensure their systems and processes withstand scrutiny.