Research from business insurer Hiscox found 70% of UK workers claim bad behaviour is rife in their place of work - admitting that the regular occurrence of racist jokes, arguments and bullying could offend colleagues.
The study separately questioned UK SME bosses and UK workers about behaviour in the workplace. A comparison of the responses revealed a considerable gap in the attitudes of bosses and employees towards ‘office antics'.
Seven out of 10 SME bosses (70%) claim they are ‘unconcerned' about the threat of legal action, suggesting they are unaware of potential pitfalls.
And half (50%) find it acceptable to display ‘sexy celebrity' calendars or rate the relative attractiveness of colleagues (49%), which may cause offence.
This is despite more than half (55%) of those workers surveyed claiming they would consider legal action if office behaviour crossed the line.
Almost nine in 10 (87%) SME bosses say staff need to be ‘grown up' over office antics, with 82% believing there is nothing wrong with office banter and 42% saying it is not their role to regulate it.
Half of UK employees (51%) disagree and believe their boss should do more to rein in unacceptable behaviour.
Callum Taylor, small business expert at Hiscox, said: "In the modern workplace one employee's banter can easily turn into another employee's lawsuit. With 70% of employees citing behaviour in the workplace as often offensive, our research highlights an area of workplace culture that SME bosses must be more aware of in order to avoid unexpected legal action.
"This is a year-round issue but one that will become particularly relevant in the office Christmas party season, particularly with many companies opting to cut costs and have their celebrations in the office. Having in place a clear code of office conduct and ensuring that behaviour falls within acceptable boundaries could help prevent a damaging and expensive legal action."
Audrey Williams, partner and head of discrimination law at Eversheds, added: "Employers must be aware they carry the legal responsibility for such behaviour where an employee finds comment offensive or embarrassing. While the law is there to protect against unacceptable behaviour, it does also recognise each individual has different tolerance levels.
"With some terms, which are not overtly offensive, sexual or sexist in content, an individual can set their own limits. If a person finds terms such as ‘babe' or ‘love' unacceptable, they should say so."
Questionable conduct seen regularly in UK workplaces includes:
Use of nicknames for colleagues (61%)
Swearing (59%)
Use of pet names such as ‘love', ‘babe' and ‘hon' (47%)
Hugging (42%)
Banter of a sexual nature (35%)
Arguments/shouting (33%)
Jokes of a religious, racial or sexual nature (28%)
Discussions about most/least attractive colleagues (16%)
Bullying (15%)
