How Businesses Can Prevent a Hostile Work Environment

A hostile work environment is bad for business. Left unmanaged, a hostile work environment can harm employees' mental health, hinder engagement, and, in some cases, lead to lawsuits. Fortunately, organizational support and measures to improve employee well-being can significantly mitigate the effects of a toxic work environment on employee engagement and safeguard businesses from legal responsibility.

As a business, it’s critical to know what defines a hostile work environment, how employers are held liable, and effective steps to prevent harassment at work and protect both your business and employees.

What is a hostile work environment?

A hostile work environment is a workplace where unwelcome conduct regarding protected characteristics creates an intimidating, hostile, or abusive atmosphere. Due to power structures and influence, individuals in management positions most often cause toxic workplace dynamics, although harassment in the workplace can come from anyone.

• A supervisor
• Management in other departments or from other teams
• An agent of the employer (e.g., outside bookkeeper)
• A coworker or group of coworkers
• Non-employees connected to the organization (e.g., vendors or consultants)

A hostile work environment can take many forms, but for the behavior to be unlawful, it must be tied to a protected characteristic such as race, color, religion, sex, disability, sexual orientation, age, or national origin.

The following are just some examples of potentially unlawful harassment that could constitute a hostile work environment:

• Sexual harassment: Unwelcome sexual advances or other harassing behavior (using sexual words, making sexist statements, etc.)
• Discrimination: Unfair treatment based on race, gender, age, etc.
• Aggressive behavior: Repetitive aggressive or passive-aggressive actions
• Information withholding: Intentionally keeping important information from an employee
• Exclusion: Being left out of activities or projects without a valid reason
• Overbearing workload: An employee being singled out or targeted with unreasonable tasks or an inappropriately heavy workload
• Gossip and rumors: Spreading false or malicious information about an employee
• Office politics: Toxic political maneuvering within the workplace

Despite the breadth and severity of some of these examples of hostile work environments, not all are illegal.

Legal criteria for a hostile work environment

While a toxic or hostile workplace can take many forms, the legal hostile work environment definition refers specifically to discriminatory and severe offensive behavior.

This sort of behavior commonly falls within the legal confines of harassment. According to the U.S. Equal Opportunity Commission (EEOC), harassment is an unjust action towards a person based on one of the following protected characteristics:

• Race
• Color
• Religion
• Sex (including sexual orientation, gender identity, or pregnancy)
• Older age (40+)
• National origin

However, the EEOC states that petty slights, annoyances, and isolated incidents—such as a single offhand comment or occasional unmalicious rude remarks—typically don't meet the threshold for a hostile work environment claim.

Legally, discriminatory conduct becomes workplace harassment in two ways:

1. The unwelcome behavior persists enough that the only way to avoid it is to quit the job
2. The behavior is severe enough that a reasonable person would find it offensive, intimidating, or abusive

Burden of proof

As in any legal claim, the factfinder must consider the entire case—such as the nature and context of the incident(s)—to determine whether or not the challenged conduct is unlawful. As this process requires evidence, the burden of proof generally falls on the victim. However, the victim doesn't have to be the person harassed. Anyone affected by the offensive conduct can file a claim as the victim. If proven, the burden of proof moves to the employer to demonstrate they're not responsible for the incident.

There are two ways an employer can claim innocence: 

1. The employer took reasonable, documented steps to prevent and correct unwelcome conduct
2. The employer provided specific and reasonable opportunities to prevent or correct the harassment and the affected employee declined

When is the employer liable for workplace harassment?

When harassment by a supervisor results in termination, failure to promote or hire, or wage losses, the employer is automatically liable. An employer is only liable for harassment by co-workers or non-employees (such as an independent contractor or customer) if it knew or should have known about the harassment and didn't reasonably attempt to correct it. This situation is a little more complicated, and should be approached with the guidance of a hostile work environment attorney.

If an employer fails to take action against workplace sexual harassment, it could lead to one of the following potential consequences:

• Lawsuits from the victim(s) of harassment and other affected employees
• Financial penalties, such as compensatory (meant to compensate the victim) and punitive damages (meant to punish bad actors)
• Increased scrutiny from regulatory bodies like the EEOC
• Damage to the company’s reputation
• Increased employee turnover and lower morale for remaining workers

Signs of a hostile work environment

To identify a hostile work environment at your business, look for these signs in relation to employees’ protected characteristics:

• Aggressiveness
• Social exclusion
• Heated discussion of religion or politics
• Inappropriate jokes or remarks (whether targeted at individual employees or broader groups)
• Humiliation (even if it seems to be in good fun)
• Intimidation or threats
• Frequent complaints

Remember, courts or agencies like the EEOC will look at all of the facts in combination, so any one factor may not be decisive. It’s therefore really important to address and stop any behavior that may even approach harassing conduct.

10 ways to prevent a hostile work environment at your business

Research shows that employees working in a toxic environment will spread negative feelings among other co-workers. Conversely, active organizational support increases employee engagement and strengthens their sense of belonging.

Luckily, there are numerous ways a business can encourage a supportive work environment and protect against workplace harassment, including through the support of an employment attorney.

1. Create an employee handbook

An effective employee handbook introduces new employees to your company's policies and sets up explicit avenues for addressing and reporting unwanted or harassing behavior in the workplace before it gets out of hand. By equipping employees with the tools to navigate discriminatory harassment, an employee handbook can also provide legal protection should a case arise.

To get started, create comprehensive policies that define what constitutes harassment and hostile behavior with guidance from an employment lawyer. Ensure these policies are well-communicated and accessible to all employees through your employee handbook.

2. Provide regular training

While an employee handbook sets a great foundation, consistency is key. To ensure continued awareness, conduct regular training sessions on harassment and discrimination prevention. Training helps employees recognize inappropriate behavior and understand how to report it. It also signals that the organization is committed to maintaining a respectful workplace​. Moreover, some laws require provision of harassment training on a regular schedule.

3. Promote open communication

Often, hostile work environments persist because employees are afraid to speak up for fear of retaliation. To mitigate this, encourage a culture of open and honest communication where employees feel safe to express concerns without fear of retaliation or minimization. Regularly check in with employees through surveys or meetings to gauge their workplace experiences and address issues promptly​. Establish and enforce an anti-retaliation policy that protects employees who report misconduct or unlawful behavior on a good faith basis.

4. Implement a confidential reporting system

One effective way to foster open communication in your business is to protect your employee's anonymity. Anonymity helps workers feel safe reporting harassment that they've seen or personally experienced without fear of becoming a target.

Create a confidential and easy-to-use reporting system for employees to report incidents of harassment or discrimination. Ensure employees know how to use the system and feel assured that their complaints will be taken seriously and investigated thoroughly​.

5. Take immediate action on complaints

Factfinders will consider how quickly and effectively an employer addresses complaints of harassment. While action may feel uncomfortable or tricky at first, it will benefit your business long-term. When a complaint is made, investigate it promptly and take appropriate action. Show employees that the company does not tolerate hostile behavior and is committed to resolving issues fairly​.

This is a critical step, as many employees report believing that employers are “all talk” when they say they want to hear about complaints and that they rarely do anything to address them. Even if a situation is not severe or pervasive enough to constitute an unlawful hostile work environment or if an employee doesn’t want the company to do anything, it’s critical that employers still follow through on any complaints and take appropriate action promptly. Even small things can quickly get out of hand.

6. Lead by example

A safe and healthy work environment starts with its leadership. Studies show that effective leadership strategies manage toxic work behavior and improve employee well-being. Ensure that leadership models respectful behavior and adheres to company policies as they set the tone for a happy and productive workplace culture. Employees are more likely to follow suit​.

7. Encourage inclusivity

An inclusive work environment fosters a sense of belonging within the organization that can enhance creativity, innovation, and engagement. Promote an inclusive work environment where diversity is celebrated and all employees feel valued through diversity and inclusion initiatives, such as employee resource groups, education for managers, equal access to opportunities, and team-building activities.

8. Monitor workplace interactions

Whenever possible, don't wait for an employee to report harassment. Employers can take the initiative to identify signs of a hostile work environment by staying vigilant about workplace dynamics and intervening when necessary. Managers should be trained to recognize signs of a hostile work environment and take proactive steps to address potential issues before they escalate​.

9. Recognize positive behavior

Preventative measures don't have to start with looking for problems within your organization. Actions that foster a positive work environment are just as important. Implement recognition programs that reward employees for demonstrating respect, teamwork, and inclusivity. Explore different communication styles to help employees feel heard and promote teamwork. 

10. Review and update policies regularly

It's vital to stay vigilant and keep up the process. Set up a plan to meet with your employment attorney and periodically review and update your employee handbook, anti-harassment policies, and procedures to ensure they reflect current laws, compliance, and best practices.

Fostering a positive work culture—final thoughts and next steps

A healthy workplace is essential for any business. Beyond fostering a positive environment conducive to success, employers can protect their reputation and reduce liability when they clearly understand what constitutes a negative work environment—and potentially an unlawful hostile environment.

Start by recognizing the behaviors that contribute to hostile work environments and take active measures to promote a healthy workplace—both proactively and reactively. While minor annoyances and isolated incidents may not meet the threshold for legal claims, they should be addressed promptly to prevent them from growing into unlawful harassment or an otherwise difficult or negative workplace. 

An employment attorney can be a valuable partner to help you establish clear company policies and procedures to prevent and address unlawful harassment.

FAQs

Here are some frequently asked questions from our readers about hostile work environments:

What are examples of a hostile work environment?

Here are some common hostile work environment examples:

• Quid pro quo, where an employee is coerced into certain behaviors under threat of their job, promotion, or other terms of employment
• Unwelcome conduct based on race, sex, religion, national origin, age, or disability
• Persistent harassment
• Severe behavior that a reasonable person would describe as intimidating, offensive, or abusive

Can a single incident create a hostile work environment?

Yes, a single incident can create a hostile work environment if the conduct was severe enough that it impacted the employee’s ability to perform their job.

How does a hostile work environment affect employees?

A hostile work environment hinders employees’ ability to do their job and may impact their work performance, create mental distress, lower morale, promote high turnover, and prevent employees from feeling a sense of belonging within the organization.

How long does it take to resolve a hostile work environment lawsuit?

Depending on the specific facts and applicable law, resolving a complaint can take anywhere from a few months to a few years.