Lessons for Companies Operating in a #MeToo World

In 2006, the #MeToo movement began with a vision to build a community of advocates and to address the lack of adequate resources for survivors of sexual violence with a goal of combating it globally. The continual issue became publicized in 2017 with several top stories involving the workplace, sparking a vital conversation. Employees gained a heightened awareness of their rights. Concurrently, insurers saw an influx in related claims. In order to place the financial burden of sexual harassment allegations back onto the insured, insurers began changing the way an employment practices liability insurance policy is rated. Sexual harassment in the workplace is a financial and humanitarian issue. The Department of Federal Employment and Housing (DFEH) in California has dedicated resources to combatting the sexual harassment in the workplace. By analyzing twelve case settlements from the DFEH between 2015 and 2019, details unraveling the sexual harassment claims are obtained. Companies that can recognize risk factors, foster strong culture, and enforce preventative policies and procedures will be in optimal shape for mitigating sexual harassment in the workplace. The most crucial part of effectiveness for preventative policies and procedures is a third-party monitor implementing and enforcing them. They offer a perspective with no financial or personal interest in the company at hand. A third-party monitor should be used at a business’ conception rather than as a reactive measure because it can reduce costs and protect employees better. Companies can combat sexual harassment in the workplace and are in the best position to do so by acknowledging the issue and showing persistence in combating it