This guide is maintained as a current resource for July 2026 and covers only the laws of England and Wales. Information is for general guidance, not legal advice. Consult a qualified solicitor for advice specific to your situation.
Comprehensive guide to employer legal responsibility for discrimination by colleagues in England and Wales. Explains vicarious liability under the Equality Act 2010, employer duties to prevent discrimination and harassment, statutory defences, and practical steps to respond to discrimination at work.
Workplace discrimination can arise not only from formal policies and management decisions but also from the behaviour of colleagues, supervisors, contractors and agents. In England and Wales, the Equality Act 2010 imposes legal duties on employers to prevent unlawful discrimination, harassment and victimisation in the workplace. When discrimination occurs, both the individual responsible and, in many cases, the employer can be held accountable in an employment tribunal. This article explains how discrimination by colleagues can trigger employer liability, what legal principles apply, how employers can respond, and what practical steps offer protection for workers and businesses alike.
Understanding Workplace Discrimination and Protected Characteristics
Under the Equality Act 2010, discrimination means treating someone less favourably because of a protected characteristic - such as age, sex, race, disability, religion or belief, sexual orientation, gender reassignment, marriage and civil partnership, or pregnancy and maternity. Discrimination can be direct, indirect, harassment, or victimisation depending on how the treatment occurred. Employers have a legal duty to ensure their workplaces are free from unlawful discrimination and must take action if discrimination arises.
Employer Liability for Discriminatory Acts by Colleagues
Vicarious Liability Explained
A central concept in employer responsibility is vicarious liability. Under the Equality Act 2010, an employer can be held liable for discriminatory acts committed by its employees, agents, or workers “in the course of employment”. This means that discriminatory conduct by a colleague or manager can give rise to a claim against the employer, even if the employer did not know about or approve the conduct.
The phrase “in the course of employment” includes acts and omissions that occur during normal working activities, but it can also extend to work‑related social events (such as team away days or Christmas parties) and business trips. The key is that the discriminatory behaviour is sufficiently connected to employment activities.
Examples:
- A colleague makes racially derogatory comments during a team meeting.
- A worker harasses another employee on a business trip.
- Discriminatory messages are circulated on work communication platforms.
In each scenario, the employer may be held liable because the conduct arises from employment‑related interactions.
Employer Duties Under the Equality Act
Employers must not only refrain from discrimination themselves, but also take steps to prevent discrimination by others in the workplace. This includes training, clear policies, and effective reporting procedures. Failing to act on complaints or ignoring discriminatory conduct may increase employer liability.
Individual Liability and Joint Responsibility
While employers are often the first respondents in tribunal claims, the individuals who commit discriminatory acts can also be held personally liable under section 110 of the Equality Act 2010. This means a colleague or manager who discriminates against another employee can be named alongside the employer in a claim.
In practice, claimants often focus on the employer because companies typically have greater financial capacity to pay compensation and handle legal processes. However, naming individuals can be appropriate if the employer attempts to rely on statutory defences such as having taken all reasonable steps to prevent discrimination.
When Employer Liability May Not Apply
Employer liability under the Equality Act does not generally extend to discrimination by non‑employees who are not agents of the business - for example, customers or staff from other companies - unless the employer knew about the conduct and failed to address it. In those limited circumstances, tribunals may consider whether the employer had an enhanced duty to protect its workers once aware of the discrimination.
Employer Defences and Preventative Measures
Statutory Defence: All Reasonable Steps
An employer can avoid vicarious liability if it can show that it took all reasonable steps to prevent the discriminatory conduct from occurring. This statutory defence is set out in section 109(4) of the Equality Act. Examples of reasonable steps include:
- Robust equality and diversity policies.
- Regular, documented training on discrimination and harassment.
- Clear procedures for reporting and investigating complaints.
- Prompt, documented action in response to known discrimination.
The tribunal assesses whether steps were proportionate and genuinely effective. Superficial or poorly implemented policies are unlikely to succeed as a defence.
Creating a Culture of Inclusion
Beyond statutory defences, employers are strongly advised to foster a workplace culture that actively challenges discrimination and supports inclusion. Equality impact assessments, transparent recruitment and promotion processes, and leadership commitment to diversity all contribute to reducing discriminatory behaviour by colleagues.
Complaint and Reporting Procedures
When discrimination by a colleague is alleged, employers should follow formal procedures, which typically involve:
- Acknowledging the complaint promptly.
- Conducting a fair and impartial investigation.
- Taking appropriate disciplinary action if discrimination is found.
- Communicating outcomes to the complainant and ensuring non‑retaliation.
Handling complaints effectively not only helps protect employees but also strengthens an employer's position if a tribunal claim follows.
Time Limits and Tribunal Claims
If discrimination by a colleague or failure by an employer to prevent discrimination leads to legal action, the claimant must generally bring a claim to an employment tribunal within three months less one day from the date of the discriminatory act or the last in a series of acts. Before lodging a formal claim, the claimant must notify ACAS and engage in early conciliation, which can pause the statutory deadline while settlement is explored. Though this guide focuses on employer liability, understanding time limits and pre‑claim procedures is crucial for both claimants and employers responding to potential claims.
Common Questions from our Readers
Can I claim against a colleague and my employer?
Yes. Discrimination claims can name both the individual who discriminated and the employer. Employment tribunals can make awards against multiple respondents where appropriate.
Does an employer have to know about the discrimination to be liable?
No. A tribunal can find an employer liable for discrimination committed by an employee even if the employer did not know or approve of the conduct, as long as the act occurred “in the course of employment.”
Can customer discrimination lead to employer liability?
Generally, employers are not automatically liable for discrimination by customers or third parties, but they may still have duties to address known discrimination once aware of it.
Summary
In England and Wales, discrimination by colleagues - whether fellow workers or managers - can lead to employer liability under the Equality Act 2010 if it occurs “in the course of employment”. This principle of vicarious liability means employers must take active steps to prevent discrimination and protect all workers. Individuals who commit discriminatory acts may also be personally liable. Employers can defend claims by demonstrating that they took all reasonable steps to prevent discrimination, including clear policies, training, and effective complaint handling. Understanding employer responsibility for colleague misconduct is essential for both employees asserting their rights and employers managing legal risk.
