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Speaking correctly

Behaviour that could be insulting to colleagues is more common than you think, says Simoney Girard

Litigation based on allegations of harassment, racism or gender orientation is hitting the headlines. Most recent is the employment tribunal of Lance Bombardier Kerry Fletcher, who is claiming both sex discrimination and discrimination on grounds of sexual orientation. It’s an action that is costly and damaging to the Army’s reputation.

You – and your clients – may think that this sort of unacceptable behaviour doesn’t exist in your company. But a recent survey by Hiscox revealed that it is still present in small and medium-sized businesses (SMEs).

According to the survey, 65 per cent of employees swear in the office, 63 per cent have nicknames for their colleagues and 42 per cent laugh at sexual innuendo. The survey also revealed that 32 per cent regularly hear racist or sexist jokes. While 78 per cent of bosses thought it was unacceptable to send ‘to all’ emails with jokes, 60 per cent felt it was OK to hug a colleague.

Gary Head, Professions Underwriting Director at Hiscox, says: “By their very nature, SMEs are organisations with a family-like atmosphere. This can create a false sense of security. The potential cost from employee lawsuits is huge and could result in bankruptcy for a small business.”

No one expects you to be on the phone to HR every time someone swears. But businesses must make it clear that racism, homophobia, religious discrimination and sexism are not tolerated and could result in offenders being given the sack if they persist.

Businesses should make employees aware of their policies from the start of their contract. Management needs to agree to these policies so they can step in if anyone is overstepping the bounds of decency.

Perhaps due to its more litigious culture, the US is ahead of Britain in this area. In 2005, the state of California ruled that any company with more than 50 employees had to provide two hours of training every two years for senior managers, in an attempt to mitigate the rising tide of lawsuits based on politically incorrect behaviour and harassment in the workplace.

There are other ways businesses can protect themselves: having the right levels of management liability cover can help in the event of a claim being made. Gary explains: “It is essential that businesses review and revise their workplace practices and consider taking adequate insurance protection in the event that the worst happens. Most bosses will have considered what happens if their office burns down, but they are more likely to be sued by an employee.”

Having sensible policies in place, communicating these clearly and getting the right levels of liability cover will help protect your business.

Hiscox provides a range of Management Liability cover. Contact Callum Taylor on 01212 125901 or at callum.taylor@hiscox.com for information.

 

 

 


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