Managing workplace relationships – before they turn into a legal minefield

Love is in the air – but is it in your workplace policies?

Managing workplace relationships – before they turn into a legal minefield

Earlier this week, Toronto Mayor John Tory stepped down after admitting to a relationship with a former staff member. Tory went on to apologize for his actions, calling the incident a “serious error in judgement”.

But workplace relationships are nothing new. According to a report from ADP Canada, one-third of employees have been romantically involved with a colleague, with 27% of them keeping that relationship a secret from everyone at work.

 For employers, secret office romances hammer home the overriding importance of having a solid policy in place – sooner rather than later. 

Creating a workplace relationship policy

This Valentine’s Day, HRD caught up with Olivia Cicchini, senior legal specialist at law advisory firm Peninsula, who talked us through the nuances and pitfalls of managing office romances — and the legal ramifications of coercive behaviour.

“Businesses of all sizes should be proactive and have a Workplace Interpersonal Relationship Policy in their workplace,” she explains. “This policy needs to clearly outline the company’s expectations regarding interpersonal relationships within the workplace. It’ll also help the employer to maintain a professional and respectful environment in which conflicts of interests and other disruptions are avoided.”

When deciding on your policy, employers should make sure they’re legally compliant while also adhering to their unique organizational strategy. For example, the policy can include guidelines such as prohibiting senior and delegate relationships, requiring disclosure of relationships, or for seniors to move positions when such relationships develop.

And, as Cicchini tells HRD, by having employees sign and date this policy, it serves as evidence that they understand and acknowledge these guidelines, should any situations arise within the office.

Should you completely ban workplace romances?

While there are no established rules or laws against romantic relationships in Canadian workplaces, any organization may prohibit a relationship for three reasons:

  • If it can cause a real or perceived conflict of interest
  • If it negatively impacts the company’s business interests
  • If it's in breach of an employer’s policy

However, as Cicchini says, it may be beneficial to take a more lenient approach rather than ban the relationship altogether.

“So long,” she says, “as the relationship is consensual, reported to management in the correct way and does not create a disruption, conflict of interest, or negatively affect the company’s business interests. Top talent is hard to find, and the costs of hiring can be substantial. Before taking any drastic measures, the employer should consider finding a way to accommodate the relationship so that it works for everyone.”

Examples of this could be separating the employees’ workstations if they work close to each other to decrease distraction, changing up the teams or shuffling the reporting structures to create some separation.

“Regardless of how an employer chooses to deal with romantic relationships in the workplace, they must ensure that each instance is dealt with in the same way to ensure equality and consistency,” adds Cicchini.

Fired over an office romance?

A couple of years ago, a New Brunswick Court dealt with the tricky question of whether or not an employee could be fired with cause over a workplace romance. A regional manager at an asset management company became involved with an employee he supervised – and failed to report the relationship as was required.

An investigation ensued and the manager’s employment was terminated. He then launched a wrongful dismissal lawsuit; however the court upheld the company’s decision to terminate — relaying a message from a previous hearing that:

“To determine if an employer has just cause to dismiss an employee, the trier of fact should ask two questions… (1) does the evidence establish employee misconduct on a balance of probabilities; and (2) if so, does the nature and degree of the misconduct warrant dismissal ‘because it gave rise to a breakdown in the employment relationship.”

The message here is that while workplace relationships are personal, if they begin to impact the employer’s business interests, there could be a conflict. As HR leaders, it’s important to remind employees that they must declare all romantic relationships in order to remain compliant and above board.

When ‘no’ means ‘no’

There’s a difference between an office romance and an unequal power balance that’s being exploited. Startlingly, 19% of employees that have been in a romantic relationship at work say they “felt pressure” to do so – be it to progress in their career or keep in “good standing” with their company, found the ADP survey.

In these cases, HR needs to act — and fast.

“Educating employees on the contents of your Workplace Violence and Harassment Policy (which includes sexual harassment) and its correlation with workplace interpersonal relationships can reduce liability for companies should romance relationships turn sour,” says Cicchini. “A clear policy will help your employees avoid or cope with any unwanted sexual advances.”

Keep compliant this Valentine’s Day and update your workplace policies – preventatively rather than curatively. To learn more about upcoming legal changes and developments, register for HRD’s Employment Law Masterclass here.

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