Responding to Workplace Sexual Harassment: Practical Points on Investigation Procedures, Disciplinary Action, and Prevention Systems for Companies
Attorney (Vietnam Bar)
Managing Partner, NEXORA Law Firm
Attorney (Vietnam Bar)
Mediator, Bankruptcy Trustee, and Independent Auditor
Table of Contents
01 - The Concept of Workplace Sexual Harassment
02 - Liability and Sanctions for Workplace Sexual Harassment
03 - Practical Experience with Disciplinary Action for Sexual Harassment
04 - How to Investigate Sexual Harassment Effectively While Protecting the Parties Involved
05 - Recommendations for Companies: Prevention Matters More Than the Response After the Fact
This article explains, from the perspectives of Vietnamese labor law, corporate practice, and internal investigation, how to prevent workplace sexual harassment and how to investigate and impose discipline when it occurs. It covers victim protection, evidence gathering, developing internal labor regulations, reporting systems, and preventing recurrence, introducing the challenges Japanese-affiliated companies commonly face on the ground and practical responses. NEXORA LAW FIRM shares practical, hands-on insights drawn from extensive experience supporting Japanese-affiliated companies with harassment response and the development of internal regulations and dispute handling.
In building a healthy workplace, many companies invest heavily in internal labor regulations, corporate culture, occupational safety and health, and working conditions. All of these are important elements that allow employees to work safely over the long term and perform to their full potential. At the same time, however, one sensitive yet critically important issue is often downplayed or set aside as a topic too awkward to discuss.
That issue is the prevention of, and response to, workplace sexual harassment. Sexual harassment can take many forms, ranging from offensive remarks or conduct to more serious acts involving physical contact. In every case, it inflicts serious harm on the victim, undermining their sense of security, forcing them to work in a state of anxiety, and preventing them from performing to their true potential.
For this reason, correctly understanding workplace sexual harassment and putting in place a proper prevention system and handling procedure is not merely an ethical matter—it is a legal obligation imposed on companies and an important issue for HR management.
01 - The Concept of Workplace Sexual Harassment
Sexual harassment refers to unwanted sexual conduct that infringes a person's honor or dignity, or causes discomfort or fear. It can take many forms—words, gestures, images, or actions—and may occur in public spaces, on social media, and particularly in the workplace.
In the corporate context, the law defines it as follows:
"Sexual harassment in the workplace means sexual conduct by any person toward another person in the workplace, which the victim does not desire and does not accept. The 'workplace' means any place where an employee actually performs work pursuant to a labor contract or the employer's instructions."
(Vietnam's 2019 Labor Code, Article 3(9))
The important point is that, regardless of whether the conduct is direct or indirect, it constitutes sexual harassment if it causes the victim psychological harm, fear, or a sense of humiliation.
Based on practice and regulatory guidance, workplace sexual harassment is generally classified into the following three types.
1.1. Physical Sexual Harassment
This includes physical contact, embracing, touching the body, and gestures with sexual connotations. It need not amount to a criminal offense such as sexual assault; if the victim feels
Insulted
Used or dominated
Uncomfortable and unable to bear it
it constitutes sexual harassment, regardless of the perpetrator's intent.
1.2. Verbal Sexual Harassment
This applies to face-to-face conversation, phone calls, messages, or electronic communication involving
Explicitly obscene content
Content that is not explicit but carries sexual suggestion or innuendo
where the victim feels discomfort, insult, or humiliation as a result. The key point here is not whether the language is "vulgar," but rather its impact on the victim.
1.3. Non-Verbal Sexual Harassment
This includes:
Sexual suggestion conveyed through gaze or gestures (body language)
Posting or sharing pornographic images, videos, or materials
Sending obscene images through company tools or social media
Although often underestimated, these can cause significant psychological harm and substantially undermine a safe working environment.
["The workplace" is not limited to the office]
Under the law, "the workplace" is not limited to the office or factory. It encompasses any location where the employee is engaged in work-related activity, including:
Training sessions, meetings, and client interactions
Business trips
Work-related meals and social gatherings
Phone calls, email, and internal chat tools
Transportation arranged by the company
Accommodation provided by the company
Accordingly, any sexual harassment occurring in a location or situation connected with work falls within the scope of the company's management, prevention, and response obligations.
02 - Liability and Sanctions for Workplace Sexual Harassment
A person who commits sexual harassment in the workplace may face several forms of legal and internal liability, depending on the severity and nature of the conduct.
2.1. Disciplinary Action Under Labor Discipline Rules
Under Article 125(2) of the 2019 Labor Code, workplace sexual harassment can be grounds for disciplinary dismissal.
However, for a company to impose discipline (including dismissal), the following conditions must be met:
Sexual harassment must be clearly defined in the internal labor regulations
The corresponding disciplinary measures for such conduct must be clearly stated
In other words, if the internal labor regulations contain no such provisions, the company generally cannot impose disciplinary action.
2.2. Administrative Sanctions (Fines, etc.)
Under Article 11(3) of Decree No. 12/2022/ND-CP, a person who commits workplace sexual harassment may be subject to an administrative penalty (such as a fine), depending on the conduct and its consequences.
Furthermore, where a company:
Has failed to establish a system to prevent sexual harassment, or
Has neglected to handle complaints, investigations, or responses
the company itself may also be subject to administrative sanctions.
2.3. Criminal Liability (in Serious Cases)
Where conduct goes beyond mere sexual harassment and directly infringes a person's body, dignity, or honor, criminal liability may be incurred.
For example, under Vietnam's Penal Code, the following may apply:
Conduct that infringes another person's honor (Article 155)
Other offenses related to sexual infringement
Accordingly, conduct that causes serious harm to a victim carries the risk of developing not only into disciplinary action but also into a criminal case.
03 - Practical Experience with Disciplinary Action for Sexual Harassment
We have supported numerous Japanese-affiliated companies in investigating workplace sexual harassment incidents, and have advised on imposing disciplinary action where a violation was confirmed. While the background, circumstances, and impact vary case by case, our practical experience has revealed several common points that companies should particularly note.
3.1. Perpetrators Tend to Deny the Facts and Attempt to Destroy Evidence
In many cases, the perpetrator will:
Deny the facts entirely
Attempt to rationalize the conduct as "a joke" or "a misunderstanding"
Delete messages, emails, or call records that serve as evidence
If the company has not established an initial-response procedure, evidence gathering becomes extremely difficult under these circumstances.
3.2. The Conduct Often Occurs in Places That Are Difficult to Prove
Perpetrators frequently and deliberately choose:
Locations without cameras
Times when there are no witnesses
Private situations that are difficult to verify
In other words, perpetrators, to some extent aware of the legal risk, tend to act in ways that leave little evidence. Internal investigations therefore require careful, specialized methods of evidence collection.
3.3. Victims Are Exposed to Psychological Pressure and Fear
Many victims are placed in a state where they:
Fear the impact on their performance review or promotion
Feel shame or worry about being criticized
Become reluctant to cooperate for fear of retaliation
It is essential that the company protect the victim and create an environment where they can consult with confidence.
3.4. Cases Involving an "Asymmetry of Power" Are Extremely Common
A common structure seen in practice is one where:
The perpetrator is a manager or supervisor, while
The victim is in a weaker position
Even in an unwanted situation, the victim may feel forced into silence out of fear of losing their job. Accordingly, establishing an internal reporting system through which employees can report safely is extremely important.
04 - How to Investigate Sexual Harassment Effectively While Protecting the Parties Involved
A company facing a sexual harassment case must simultaneously satisfy the following three requirements:
1. Investigate the facts objectively and effectively
2. Minimize the psychological burden on those involved
3. Maintain thorough confidentiality of information
If even one of these is lacking, the investigation itself risks harming the victim again and deepening internal conflict and distrust.
4.1. Proceed Quietly and Steadily, Without Stirring Up Internal Unrest
If a suspected perpetrator becomes aware that they may be exposed, they may:
React emotionally
Obstruct business operations
Destroy equipment or data
Pressure or intimidate the victim or the person who reported the incident
The company must therefore respond in a flexible yet consistent manner:
Share investigation details only to the minimum necessary extent
Disclose information only to those genuinely involved
Prepare an emergency response to protect personnel, assets, and workplace order
It is preferable to conduct the interview with the suspected perpetrator only after the company has grasped a certain set of facts and prepared for anticipated scenarios.
4.2. Confidentiality Is a "Lifeline"
Confidentiality serves two essential roles:
Stabilizing the psychological state of those involved
Protecting, in particular, the victim's honor and privacy
If information leaks, the victim may:
Relive the psychological trauma
Face pressure from family and those around them
Suffer long-term harm to their work and personal life
Accordingly, documents, minutes, emails, and data relating to the investigation must be managed, accessed, and stored under strict rules.
4.3. "How to Conduct the Investigation" While Maintaining Confidentiality and Preventing Recurrence
This is the most difficult part. A company must simultaneously satisfy the following conditions:
Gather evidence through lawful means
Respect the rights of the accused (the suspected perpetrator)
Prevent recurrence or secondary harm during the investigation
Where a company attempts to handle the matter entirely on its own, however, it may face issues such as:
Procedures becoming improper
Internal conflict intensifying
New legal risks emerging
For this reason, in sensitive and complex cases, it can be a safer and more realistic choice to engage third-party support, such as lawyers or internal-investigation specialists, alongside the company's own efforts.
That said, there is no single "universal solution" applicable to every case. Designing the optimal investigation process individually, tailored to the company's culture, relationships, and the scale of the risk, is what matters most.
05 - Recommendations for Companies: Prevention Matters More Than the Response After the Fact
Properly preventing and responding to workplace sexual harassment contributes to enhancing a company's credibility, securing talent, curbing internal trouble, and reducing legal risk.
Companies are therefore encouraged to proactively pursue initiatives such as the following:
Set out clear rules and handling procedures for sexual harassment in the internal labor regulations
Conduct regular training and awareness sessions for employees to ensure they understand their rights, obligations, and the protection system
Establish a safe, highly anonymous reporting channel that protects whistleblowers from retaliation
Demonstrate a consistent and firm stance when handling incidents as they arise
[The Internal Labor Regulations Are the Key to Lawful and Effective Discipline]
Under the current Labor Code, companies are required to clearly define workplace sexual harassment and set out the corresponding disciplinary measures in the internal labor regulations.
In other words, where:
No such provision exists, or
The content is abstract or unclear
the company lacks a lawful basis for imposing disciplinary action (particularly disciplinary dismissal) on the perpetrator.
Accordingly, the internal labor regulations must specifically address:
What conduct constitutes sexual harassment
The level of discipline applicable to each type of conduct
Ensuring the content is consistent with corporate culture while complying with the law
Where the provisions are ambiguous, perpetrators often argue:
"The rules were not adequately explained."
"The content was hard to understand."
"I did not recognize it as a violation."
As a result, the company's position is weakened, risking a prolonged dispute.
Summary
Workplace sexual harassment is not merely an ethical issue—it is a serious legal and HR risk. The more a company puts in place, at an early stage:
Clear internal labor regulations
A transparent handling process
A system that protects victims
the more it will be able to:
Prevent disputes before they arise
Protect its employees, and
Build a safe workplace environment grounded in respect.