Workplace relationships are increasingly common and although not unlawful, they can create practical, cultural and legal complexities that employers must manage with care. Without a clear framework and proactive management, such relationships can give rise to conflicts of interest, perceived favouritism, employee disputes, or even legal claims. Employers therefore need to strike a balanced approach that respects employees’ privacy while safeguarding their business’ interests.
In Brief:
In this article, Katie Ash, Solicitor and Head of Employment Law explains the approach that employers should take to workplace relationships.
Employees’ Right to a Private Life
In a workplace context, Article 8 of the Human Rights Act 1998 gives employees the right to a private and family life, which means that employees have the right to have consensual relationships with people they meet at work. Employers must therefore ensure that their approach to workplace relationships is proportionate and not unnecessarily intrusive.
Overly restrictive rules about workplace relationships or heavy‑handed monitoring of employees can damage trust and risk breaching employment law rights. At the same time, employers must ensure professional conduct is maintained in the workplace and that relationships do not create operational or legal risks for the business. Striking an appropriate balance is crucial to sustaining a healthy and happy workplace environment.
The Importance of a Clear Workplace Relationship Policy
A well‑drafted "relationships at work policy" (or similar) is one of the most effective ways to manage workplace relationships consistently and fairly. This sort of policy should set out expectations around the disclosure of relationships to management, particularly where relationships involve managers and direct reports, and explain how conflicts of interest will be addressed if they arise.
The policy should also outline expected standards of behaviour in the workplace and link to any related policies, including an employer’s sexual harassment policy (which will become mandatory when further changes come in to effect in October 2026), any dignity at work policy, and the employer’s disciplinary and grievance procedures (which are also mandatory). Regularly reviewing and clearly communicating this policy helps ensure all employees understand their responsibilities and the organisation’s approach to relationships in the workplace.
Managing Conflicts of Interest and Power Imbalances
Where a workplace relationship involves employees at different levels of seniority, employers must manage the situation very carefully. Such relationships can give rise to perceptions of bias or they can compromise the fairness of decisions around performance, promotions or work allocation. They may also make it more difficult for junior employees to raise concerns openly in the event of a relationship breakdown or inappropriate behaviour. Employers may need to adjust reporting lines, workloads or supervision arrangements to prevent conflicts of interest arising in the first place after being notified of a relationship between members of staff where there is a power imbalance. These measures should not be seen as punitive, but rather as measures designed to protect both of the individuals and the business.
Professionalism and Workplace Conduct
Employers should ensure that employees in a relationship maintain professional behaviour and that the relationship does not disrupt the wider team and workplace. Personal disputes or relationship breakdowns can be especially challenging as these often lead to tension, grievances or allegations of unfair treatment. Employers should intervene early and sensitively where needed, offering support to both members of staff. Such support could include the offer of mediation or temporary adjustments to duties or work location. Maintaining professionalism is vital to ensuring that the relationship does not negatively affect the workplace, but if professionalism isn’t maintained, then it may be necessary to consider whether disciplinary action is appropriate.
Sexual Harassment Risks
The management of workplace relationships has become even more important following the introduction of the new proactive legal duty to prevent sexual harassment in the workplace, which came into effect on 26 October 2024.
Employers must now take reasonable steps to prevent sexual harassment from occurring, rather than simply responding to complaints after the event. This duty is particularly significant in the context of workplace relationships, where behaviour may shift from welcome to unwelcome or where a power imbalance exists.
Employers should ensure that all employees understand what constitutes sexual harassment, that managers are trained to recognise and address it, and that there are clear and accessible reporting mechanisms in place. If a Tribunal finds that sexual harassment has occurred and the employer failed to meet this proactive duty, any compensation awarded may be increased by up to 25%.
Training, Culture and Leadership
Policies are only effective when supported by a positive workplace culture. Employers must ensure that senior members of staff and management model appropriate conduct and foster an environment where employees feel safe to share information and raise concerns. Regular training helps ensure that managers can identify issues early and act consistently. A strong organisational culture based on respect and professionalism reduces risk and contributes to a healthier working environment.
Ensuring Fair and Consistent Handling
Even relationships that begin amicably can lead to difficulties, such as rumours, team conflict, jealousy or, following a relationship breakdown, accusations of misconduct or harassment. Employers should be prepared to respond fairly, promptly and confidentially. Investigations should be impartial and thorough, ensuring that all parties are supported. A consistent approach is vital to maintaining trust and reducing the risk of discrimination or unfair dismissal claims.
How Banner Jones Can Help...
Managing workplace relationships can be sensitive and legally complex, particularly in light of the new proactive duty to prevent sexual harassment. Our specialist Employment Law team at Banner Jones can support employers by drafting or reviewing relationship at work policies, updating sexual harassment and dignity-at-work policies, delivering training for managers and staff, and advising on specific cases involving relationship disclosures, conflicts of interest, or complaints. We can also assist with investigations, grievances and risk management to ensure your business remains compliant and protected.
For expert advice, contact our Employment Law team at employment@bannerjones.co.uk or call 01246 605132.
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