Sexual harassment in the workplace doesn’t start with physical assaults. Suggestive messages, comments about clothing or appearance, and unwanted invitations can also cross the line. A ruling by the Cologne Regional Labor Court shows that abuse of power by supervisors can have significant consequences under labor law.

When does sexual harassment in the workplace occur?

Under the General Equal Treatment Act(AGG), unwanted sexually-oriented behavior is prohibited if it violates the dignity of the person concerned. This may include sexual remarks, intrusive messages, unwanted physical contact, gestures, or pornographic content. The decisive factor is not merely whether the person engaging in the behavior intended it as “fun.” What matters are the effect, the situation, and the overall circumstances—especially when there is a power imbalance between a manager and an employee.

The Case Before the Cologne Regional Labor Court

In the case in question, a female employee received sexually suggestive instructions via WhatsApp regarding her clothing and appearance. After she rejected private advances from her CEO, she was subjected to insults, threats of professional repercussions, and ultimately termination.

The court ruled that the termination was unfair and that continuing the employment relationship would be unreasonable. It terminated the employment relationship at the employee’s request and awarded her a severance payment of 68,153.80 euros gross.

The extraordinary amount was based on the specific circumstances: the significant humiliation, the psychological consequences, and the intentional abuse of power. The court based its calculation on two months’ salary per year of employment. However, this does not mean that victims of sexual harassment will automatically receive a comparable settlement. Settlements always depend on the individual case and the legal proceedings.

What rights do affected individuals have?

Employees may file a complaint with the appropriate workplace complaint office, the human resources department, or the works council. The employer must investigate the complaint and take effective protective measures. Depending on the severity of the incident, possible measures may include a written warning, transfer, or termination of the person responsible for the harassment.

Those affected should document incidents as soon as possible. Screenshots, emails, written accounts of events, and the names of potential witnesses are helpful. In the event of termination, prompt action is essential: A lawsuit for protection against wrongful termination must generally be filed within three weeks of receiving the notice of termination. Claims for compensation or damages under the AGG must typically be asserted in writing within two months.

Employers Must Take Active Measures to Protect Employees

Employers must not downplay allegations or leave them unaddressed. They are required to take preventive measures, establish clear complaint procedures, and investigate any incidents that come to light. If appropriate protective measures are not taken, employees may even have the right—under strict conditions—to stop working without losing pay. However, due to the legal risks involved, this step should not be taken without prior consultation.

Clear boundaries are not a misunderstanding

The Cologne case makes it clear: Digital communication is not a legal vacuum, and a leadership position must not be used to impose personal preferences. Anyone affected should preserve evidence, seek support, and meet deadlines. Companies, for their part, need clear rules and must handle complaints consistently.

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