Is the employer liable for the improper actions of harassment by a supervisor?
There is automatic liability for harassment by a supervisor when the behavior results in a negative employment action (loss of wages, hours, opportunities, failure to hire or promote, or termination) against the impacted employee/applicant. If the harassment results in a hostile work environment, strict liability can be avoided if the employer can demonstrate that it exercised care and acted reasonably to prevent (by disseminating the company policy and conducting training) and correct (through a prompt investigation) the harassing behavior. The employer must also prove that the employee failed to take advantage of opportunities to prevent or avoid harassment as required by the company policy.
