Employer Liability for Workplace Sexual Harassment

Employer Liability for Workplace Sexual Harassment

Employer Liability for Workplace Sexual Harassment

Sexual harassment is a pervasive issue that affects individuals across all sectors and ranks. In the workplace, it undermines dignity, safety, and productivity. Recognizing this, Philippine law imposes a proactive duty on employers to prevent, investigate, and resolve incidents of sexual harassment. Failure to fulfill this duty may result in solidary liability for damages incurred by the victim.

Under Section 3 of RA 7877, otherwise known as Anti-Sexual Harassment Act of 1995, sexual harassment is committed when a person in a position of authority, influence, or moral ascendancy demands or requests sexual favors from another in the workplace, regardless of whether the request is accepted.

Section 4 of the aforesaid law mandates employers to:
a. Establish procedures for the resolution and prosecution of sexual harassment cases;

b. Create a Committee on Decorum and Investigation (CODI) composed of representatives from management, labor unions (if any), and employees from both supervisory and rank-and-file levels.

The employer or head of office, educational or training institution shall be solidarily liable for damages arising from the acts of sexual harassment committed in the employment, education or training environment if the employer or head of office, educational or training institution is informed of such acts by the offended party and no immediate action is taken thereon (Sec. 5, RA 7877).

Employer Accountability in Sexual Harassment Cases

In Buban vs. Dela Pena (G.R. No. 268399, 24 January 2024), the Supreme Court held the company liable to the victim for damages when it failed to investigate the allegations of sexual harassment which demonstrated its insensibility, indifference, and utter disregard not only to the employee’s security and welfare, but also to its duty under Republic Act No. 7877.

In LBC Express-Vis Inc. v. Palco (G.R. No. 217101, 12 February2020), the Court ruled that An employee is considered constructively dismissed if he or she was sexually harassed by her superior and her employer failed to act on his or her complaint with prompt and sensitivity.

What Must the Employer Do in Sexual Harassment Cases?

It is the duty of the employer to foster a work environment free from harassment. The duty of the employer is spelled out in Section 4 of RA 7877, to wit:

“SEC. 4. Duty of the Employer or Head of Office in a Work-related, Education or Training Environment. – It shall be the duty of the employer or the head of the work-related, educational or training environment or institution, to prevent or deter the commission of acts of sexual harassment and to provide the procedures for the resolution, settlement or prosecution of acts of sexual harassment. Towards this end, the employer or head of office shall:

(a) Promulgate appropriate rules and regulations in consultation with and jointly approved by the employees or students or trainees, through their duly designated representatives, prescribing the procedure for the investigation of sexual harassment cases and the administrative sanctions therefor.

Administrative sanctions shall not be a bar to prosecution in the proper courts for unlawful acts of sexual harassment.

The said rules and regulations issued pursuant to this subsection (a) shall include, among others, guidelines on proper decorum in the workplace and educational or training institutions.

(b) Create a committee on decorum and investigation of cases on sexual harassment. The committee shall conduct meetings, as the case may be, with officers and employees, teachers, instructors, professors, coaches, trainors and students or trainees to increase understanding and prevent incidents of sexual harassment. It shall also conduct the investigation of alleged cases constituting sexual harassment.

In the case of a work-related environment, the committee shall be composed of at least one (1) representative each from the management, the union, if any, the employees from the supervisory rank, and from the rank-and-file employees.

In the case of the educational or training institution, the committee shall be composed of at least one (1) representative from the administration, the trainors, teachers, instructors, professors or coaches and students or trainees, as the case may be.

The employer or head of office, educational or training institution shall disseminate or post a copy of this Act for the information of all concerned.”

Simply put, to avoid liability, employers must:

  1. Establish and publicize clear anti-harassment policies;
  2. Form a functioning CODI;
  3. Respond promptly and fairly to complaints;
  4. Ensure protection for complainants during investigations.

The Supreme Court’s rulings underscore that sexual harassment is not merely a personal offense—it is a workplace violation that demands institutional accountability. Employers must uphold their duty to prevent and address harassment or face the consequences of legal liability. The law and jurisprudence affirm that silence and inaction are not neutral—they are complicit.

About Nicolas and De Vega Law Offices

Nicolas and de Vega Law Offices is a full-service law firm in the Philippines.  You may visit us at the 16th Flr., Suite 1607 AIC Burgundy Empire Tower, ADB Ave., Ortigas Center, 1605 Pasig City, Metro Manila, Philippines.  You may also call us at +632 84706126, +632 84706130, +632 84016392 or e-mail us at [email protected]. Visit our website https://ndvlaw.com.

SEARCH