Larger broker firms unaware of cyber-liability

Sue Nickson, co-author and head of the employment unit at legal firm Hammonds Suddards Edge, said: "Employers remain blissfully unaware that they are sitting on a legal time bomb. Many of their employees are unintentionally creating liabilities for them through inappropriate use of new technology. Though employers have got to grips with new business tools, many fail to appreciate the privacy issues created by the Human Rights Act in relation to e-mail and the Internet".

"An area of increasing concern is the downloading of pornography by employees from the Internet. An employee who is aware that colleagues are downloading such material may reasonably decide that this causes an unacceptable working environment."

"Not only can this found the basis of a sex discrimination case but the displaying and distribution of such material could also amount to a criminal offence under the Obscene Publications Act 1959. In some cases, both the employee who commits the offence and the employer who fails to take sufficient preventative action could be held liable."

Privacy and Communications is part of the Legal Essentials series and addresses the complex issues that employers face in relation to the Human Rights Act, including the rights of privacy and the protection of human rights and fundamental freedoms. The guide brings readers up to date with the latest legislative changes affecting the area, offers a section on frequently asked questions, plus a sample policy and areas of future development that need to be considered.

"Cyber-liability cannot be ignored. Employers must take preventative action to reduce their organisation's potential financial exposure against claims in the future. As the use of electronic communications becomes more advanced, this problem will only grow so this should remain a high priority for any switched-on employer," said Nickson.