In a significant development from a recent court case, two customers have been ordered to pay tens of thousands of dollars in compensation and penalties for sexually harassing a worker. The Federal Circuit and Family Court decision confirms that customers and other patrons may be held liable for harassing workers.
In a decision published this month, the judge found a male worker at a self-storage facility was sexually harassed by two men: a major customer of the business and a contractor. Under orders made by the court, the two men are jointly liable to pay $90,000 in compensation. Separately, they were ordered to pay penalties of $13,000 each.
The lawyer who acted for the worker stated that the decision had implications for all public-facing workplaces, including retail, hospitality and health.
All businesses already have legal duties to their workers and must take “reasonably practicable” steps to eliminate or minimise risks, including those arising from customers.
In addition, in NSW and Queensland, compliance with a Code of Practice is now mandatory, and this includes the Code of Practice for Sexual and gender based harassment.
This Code of Practice outlines what sexual and gender based harassment is, who is impacted, and the consultation and risk management steps businesses must take in response to managing this risk in their workplace. It also details the intersection this legislation has with the management of psychosocial hazards and the Respect @Work legislation.
Three steps you can take right now to support your management of sexual and gender based harassment in the workplace:
- Read the Code of Practice on Sexual and gender based harassment
- Engage key stakeholders in your workplace for consultation on this matter – and identify if you have had any reported incidents
- Do a risk assessment and eliminate or minimise this risk as far as reasonably practicable – that’s a key step in the Code of Practice
Want More Guidance or Support?
- Read our blog from 24 April 2026 on The rise and rise of Occupational Violence
- Read our blog from 1 February 2026 on What is a positive duty and how can you comply with it
- Read our blog from 14 March 2026 on Psychosocial Risk – Now we’re all on notice
- Refer to your safety regulator’s Code of Practice on Sexual and Gender Based Harassment
- Refer to your safety regulator’s Code of Practice on Psychosocial Hazards in the Workplace
You can reach out to us at The Mindful Risk Group if you would like to discuss your organisation’s exposure to psychosocial risks, including bullying & harassment, or any other aspects of your risk management or WHS program. We would love to chat to you.