« Back e-Bulletin: Protect Your Company's Assets: Draft Effective Policies and Provide Harassment Training for Supervisors

August 21, 2007

The effective date last Friday (August 17, 2007) of California regulations which outline mandatory sexual harassment training for supervisors is a good reminder of the need for all employers to:
  1. Adopt and implement effective equal employment opportunity and anti-harassment policies; and
  2. Train personnel in what conduct is prohibited under the law and under the policies. 
Failure to take these steps may leave any employer, whether in California or elsewhere, vulnerable to a very expensive punitive damages award.  In Ohio, these punitive damages are not statutorily capped.  (Notably, the United States District Court for the Northern District of Ohio upheld on August 16 a $10 million punitive damages award against New York Life Insurance in age discrimination case). 

Fortunately, the United States Supreme Court decision Kolstad v. American Dental Association established that punitive damages cannot be awarded against an employer who can show that a manager’s discriminatory acts “are contrary to the employer’s good faith efforts to comply with Title VII.”   An effective policy and active training program are critical evidence of an employer’s good faith efforts to comply with the law and avoid punitive damages.  Conversely, plaintiffs’ counsel have argued that the failure of an employer to adopt effective policies or train their employees is evidence of the willful disregard of the law which may be the basis for punitive damages.

The adoption of these policies and training of personnel is also needed to establish an affirmative defense to co-worker harassment under the United States Supreme Court decisions of Burlington Industries v. Ellerth and Faragher v. City of Boca Raton. The United States Supreme Court established in these decisions the availability of the affirmative defense where an employer can show: 1) the employer took reasonable steps to prevent harassment in the workplace; and 2) the employee bringing the claim unreasonably failed to complain under the policy.

Finally and most importantly, taking these steps is the “right thing” to do.  No employee in America should be faced with working in a workplace in which he or she is discriminated or harassed because of his or her legally protected classification.

California Regulations under Assembly Bill 1825

Under the California regulations which just went into effect, employers with 50 or more employees (regardless of where the 50 work) every two years must provide any supervisor who works in California with two hours of sexual harassment prevention training including, specific issues identified under California Assembly Bill 1825.  Newly hired or promoted supervisors must receive this training within six months of becoming a supervisor.

The regulations require that the training sessions be interactive and cover –
  • what constitutes unlawful discrimination, harassment, and retaliation
  • steps to take when harassment takes place in the workplace
  • how to report harassment
  • the proper response to a harassment complaint
  • the responsibility of an employer to investigate a harassment complaint
  • definition of retaliation and how to prevent retaliation
  • components of an effective anti-harassment policy
  • the negative consequences of harassment on harassed employees, co-workers, harassers and employers
For non-California employers, these regulations provide a useful outline of subjects to be covered in anti-harassment training.

If you need assistance in updating your Equal Employment Opportunity or Anti-Harassment policies to ensure they are as effective as possible or need assistance in training in this area, contact the Taft Labor and Employment attorney with whom you regularly work or John O’Connor in Taft’s Cincinnati office at (513) 357-9641.