How Employers Should Handle Workplace Bullying: Legal Duties and Risks

27.4.2026 | ARROWS law firm

When one employee bullies their colleagues or a supervisor, the employer faces a complicated situation. They must address the protection of victims, the risk of fines from the Labour Inspectorate, and legal liability for bullying in a workplace environment they themselves create. This article explains how to proceed legally and effectively, which mistakes can prove costly, and when immediate action is necessary.

The photograph shows a lawyer during a consultation regarding workplace bullying.

Article contents

The employer’s legal duty and liability for employee bullying
Protection against retaliation and the duty of confidentiality
Specific situation: bossing and bullying by a manager
Options: from mediation to disciplinary proceedings
Final summary

The employer’s legal duty and liability for employee bullying

One of the most common misconceptions is the belief that if the bullying was not committed by the employer or a manager, but by an ordinary employee against other colleagues, this relieves the employer of liability. The opposite is true. The Czech legal system is based on the principle that the employer is responsible for the working environment it creates, regardless of who specifically breaches the rules.

Labour Code imposes on the employer a duty to ensure equal treatment of all employees and prohibits any discrimination, including harassment, which is unwanted conduct whose purpose or effect is to violate a person’s dignity and create an intimidating, hostile, degrading, humiliating or offensive environment (§ 16 and § 17 of the Labour Code). The employer is also required to ensure a safe working environment. If the employer knows that bullying is taking place in the workplace, or should know (for example because it was reported by management or by employees), and still fails to respond, it is in breach of these duties.

A court may assess the employer’s conduct as a breach of legal regulations, and the victim of bullying is entitled to claim compensation for damage to health and/or compensation for non-pecuniary harm. At the same time, the employer faces a fine from the Labour Inspectorate for failure to meet its obligations, which may reach up to CZK 1 million for a legal entity.

If the bullying is carried out by a manager against subordinates (bossing), this is a particularly sensitive situation because the superior has the power to change working conditions and influence careers. In such cases, the court assesses the situation as a whole and the manager’s conduct is often treated as the conduct of the employer itself.

How to recognise that an employee is bullying others

Bullying manifests in different ways, and its scope can range from subtle verbal attacks to gross behaviour. It is important to understand that repetition and systematic conduct are key characteristics. A one-off inappropriate remark is usually not bullying; however, a long-term pattern of humiliating or intimidating behaviour is. Typical manifestations of an employee bullying others include: ridicule, insults, spreading rumours, isolating someone from the team, refusing to cooperate, creating obstacles to performing work, assigning impossible or humiliating tasks, sexual harassment, or verbal attacks.

In practice, we encounter the following situations:

Mobbing among colleagues occurs when one employee (usually with a stronger personality) pushes colleagues out of the group, sabotages their work, spreads false information about them, or actively isolates them. An example is an employee who “appropriates” key projects and deliberately withholds important information from colleagues, preventing them from properly performing their work.

Bullying by a subordinate against a superior is less traditional, but protected by law. In this case, an employee may continuously challenge the superior’s authority, spread rumours, or publicly criticise them in a way that goes beyond legitimate criticism of work performance.

To avoid complicating the situation, it is important to distinguish between an ordinary (even if sometimes rude) workplace conflict and bullying. If the problem recurs over several months or years and the victim reports psychological or physical harm (sleep problems, anxiety, depression, headaches), it is clearly not just a superficial inconvenience.

Procedure for dealing with bullying: from reporting to intervention

When a bullying report reaches you (whether through a complaint, the HR department, or even by overhearing a conversation), you should not ignore it. In practice, the lawyers at ARROWS advokátní kancelář observe that employers most often fail through delay and passivity—precisely what the Labour Code prohibits.

Step 1: Receiving the report and documentation

Who should receive the report? Ideally, the HR department, the victim’s direct supervisor, or a person authorised to handle complaints (for example, a company ombudsman, if established). With regard to the Whistleblower Protection Act, effective since 2023, an employer that employs 50 or more employees should have an internal reporting system in place. This ensures a formal and protected channel for reporting unlawful conduct, including bullying.

Once you receive the report, you should:

Record in detail what the victim reports: specific conduct, dates and times, names of witnesses.
Inform the victim that you will investigate the situation and that they will be protected against retaliation during the investigation.
Ensure that the complaint can also be made orally and can be converted into written form, with the option of anonymous submission if the internal reporting system allows it.
Explain to the victim that you have a duty to address the matter, and that you will maintain reasonable discretion; however, complete anonymity cannot always be guaranteed, especially if the investigation requires confrontation.

Practical tip: Record the communication in the form of an internal note with the date, name and signature of the person who received the report. This documentation will later serve as evidence that you took the matter seriously.

Step 2: Investigating the incident

The investigation should be impartial and thorough. This means:

Interview the victim in detail. What specific conduct occurred? When? Under what circumstances? Were there any witnesses?
Contact the alleged perpetrator and interview them. They should be given an opportunity to respond. Be fair, but remain objective.
If there are witnesses, interview them as well. Witnesses do not have to be employees only – they may also be external persons who saw or heard the problematic conduct.
Collect all written evidence: emails, messages in internal chat systems, meeting minutes, photographs or videos, if relevant.
Record the investigation process: when you spoke to whom, what you found out, which documents you reviewed.

Important: The investigation must be conducted without prejudice. If you believe the victim is lying, you must support that with specific evidence, not merely a feeling or a preference for the perpetrator.

Step 3: Consider interim measures

If, during the investigation, you find that there is an immediate risk of further violence or bullying, you should consider temporary measures. These measures should be primarily protective rather than punitive. This may include:

Temporarily separating the employees (different shifts, separate offices, working from home for one of them).
Suspending certain activities or projects in which the alleged perpetrator and the victim would work together.
In extreme cases, the employer may temporarily assign different work or suspend the employee from performing work if this is necessary to protect other employees or property, but always with wage or salary compensation. It is important that such a measure is not perceived as a punishment, but as an interim protective measure during the investigation.

You must proceed cautiously here – if you misuse interim measures to effectively push an employee to leave, you risk a claim for invalid termination of employment and an obligation to pay wage compensation.

Step 4: Conclusions and measures

After the investigation is completed, you should reach a conclusion: Did bullying occur? To what extent? Who is responsible?

If you conclude that bullying did occur, you should adopt remedial measures. The Labour Code gives the employer a certain degree of flexibility here under Czech law. Measures may include:

Educational: A meeting with the perpetrator about what conduct constitutes bullying and what its consequences are. Often, the employee genuinely does not realise how rude their behaviour is.
Preventive: Training the employee on a workplace free of violence and bullying. Some employees learned such behaviour at home or elsewhere and, in the given environment, do not realise they are crossing boundaries.
Disciplinary: A written warning about the possibility of termination under the internal work rules or the Labour Code. This must be documented and archived. Such a warning is a necessary prerequisite for a potential later termination due to persistent less serious breaches of duties.
More serious: Immediate termination of employment if it constitutes a particularly gross breach of an obligation arising from legal regulations relating to the work performed (Section 55(1)(b) of the Labour Code). This applies where the employee committed physical violence, sexual harassment with serious impacts, or repeated stalking of the victim despite prior warnings.
Notice of termination: If an employee seriously breaches obligations arising from legal regulations relating to the work performed, the employer may give notice of termination (Section 52(g), first sentence, of the Labour Code). If the employee persistently commits less serious breaches of these obligations and, in the last 6 months, has been given a written warning in connection with the breach about the possibility of termination, notice of termination may also be given (Section 52(g), second sentence, of the Labour Code).

The attorneys at ARROWS, a Prague-based law firm, can help you assess the seriousness of the situation and choose proportionate measures. If you want to avoid a situation where a court later invalidates your termination as unlawful, you should consult this in advance, not only after you have made the decision.

Possible issues	How ARROWS helps (office@arws.cz)
Bullying continues even though you have issued a warning to the employee. The victim complains of physical or psychological problems and is considering legal action.	ARROWS attorneys can help you document all steps you have taken and draft proper disciplinary measures or a notice of termination. If litigation follows, you will have evidence-ready correspondence and be better protected.
The Labour Inspectorate carries out an inspection; it is being assessed whether you, as the employer, proceeded correctly. A fine of up to CZK 1 million is at stake.	ARROWS will represent you during the inspection, help you prepare your position within the inspection process, and protect you against unfounded findings. We have experience with what inspectors actually check and how to prove that you acted in accordance with Czech law.
The victim files an anti-discrimination claim, alleging that the bullying was motivated by a discriminatory ground (age, gender, health condition, etc.). Your budget may be severely affected by years of court proceedings.	Our Czech legal team will help you ensure a thorough investigation and document that your measures were not discriminatory. In anti-discrimination claims, a shared burden of proof applies – we know how to handle it. We will represent you in court and argue based on your specific steps.
The bullied employee leaves the company and attempts to draw you into litigation, claiming compensation for emotional harm and diminished social functioning.	ARROWS will help you prepare a defence based on the investigation documentation. If the court finds that you acted responsibly and without delay, your position will be significantly strengthened. In the worst-case scenario, we will represent you in court.
During the investigation, the victim alleges that you are retaliating against them (a retaliatory measure). There is a risk of a higher fine and further legal complications.	ARROWS attorneys advise you on how to proceed to avoid any suspicion of retaliation. They help you formulate internal communications and measures in a way that is clearly justified and not perceived as revenge. We will use our knowledge of the Whistleblower Protection Act to ensure compliance with legal regulations.

Protection against retaliation and the duty of confidentiality

One of the most subtly enforced obligations is the prohibition of retaliation. The law prohibits an employer (or anyone in a position of authority) from penalising an employee for asserting their right not to be harassed or bullied. This prohibition is reinforced by the Whistleblower Protection Act, which protects persons who report unlawful conduct, including bullying, against retaliatory measures. Retaliation may take the form of termination, a pay cut, a worse job assignment, disciplinary action, etc.

If an employee who reported bullying is subsequently dismissed, they may seek a court declaration that the dismissal is invalid. The court would have to hear the employer and determine whether the dismissal was genuinely based on the reasons set out in the employment contract and the Czech Labour Code, or whether it was motivated by the bullying report. If it is found to be a retaliatory measure, such a dismissal may be declared invalid.

Contact our experts

JUDr. Barbora Kořenářová

associate

korenarova@arws.cz

Mgr. Jan Pavlík

associate

jan.pavlik@arws.cz

Practical example: An employee reports that her manager has been humiliating her over a long period. The HR department opens an investigation. Two weeks later, she is given notice “due to redundancy of the position”. Courts very often conclude that this is retaliation and overturn the dismissal, even though the employer believed it was justified.

How to avoid this? There are no shortcuts—you must have documented reasons for every HR step you take following a bullying report. The attorneys at ARROWS advokátní kancelář can help ensure that your steps are legally robust and logically consistent.

You should also ensure the confidentiality of the investigation as far as possible. Both the victim and the alleged perpetrator are entitled to a reasonable degree of privacy. Do not spread details across the entire company, as this can lead to shaming, gossip, and further escalation of the conflict.

Specific situation: Bossing and bullying by a managerial employee

If the bullying is carried out by a managerial employee (a supervisor), the situation is more complex because the manager has the power to influence working conditions. This is often referred to as bossing—abuse of a managerial position to humiliate or intimidate subordinates.

In these cases, courts often assess the manager’s conduct as the employer’s direct conduct. The reason is simple: a managerial employee acts in the name of the company and for the company. If a supervisor bullies someone, it is, in fact, bullying by the company itself.

This means that, as an employer, you bear even greater responsibility. You should:

Train managerial employees on proper team leadership and on what constitutes bullying and harassment.
Require managers to inform the HR department about problems within the team.
Implement a procedure for handling complaints against a manager—so the manager cannot hide behind their position.
Consider whether the manager is truly suitable for the role if you find that they demonstrably engaged in bullying behaviour.

In extreme cases where a managerial employee persistently and knowingly bullies subordinates, the situation can be resolved by removing them from their managerial role, giving notice, or terminating the employment relationship with immediate effect.
If you decide to proceed in this way, you should have a clear investigation outcome and tangible documents showing how long and how severely the manager behaved. Without this, you risk the manager filing a claim for invalid dismissal and winning.

The attorneys at ARROWS advokátní kancelář have experience in handling such situations. They help employers build a process that is legally safe while also fair to both victims and perpetrators.

Options: From mediation to disciplinary proceedings

It depends on your strategy and the outcome you want to achieve.

Mediation

If you want the employees to remain at work and relationships to be restored, you can try mediation. A mediator (an impartial third party) meets with the victim and the perpetrator separately and later in joint sessions, and seeks a solution that both sides will accept.

However, mediation is not suitable if:

Physical violence occurred.
The bullying was sexual in nature or particularly severe.
The victim is afraid of mediation or does not want it at all.

If the victim agrees to mediation, it can be an effective and faster solution. If not, you must continue with the formal procedure, potentially including disciplinary proceedings.

Formal disciplinary proceedings

If your investigation leads you to conclude that an employee truly bullied others, you should:

Issue a written decision that includes: a description of the problematic behaviour, when and where it occurred, how it breaches company rules and, where applicable, the law, and what measure (e.g., a warning of possible dismissal, reassignment to other work) or sanction you are imposing.
Give them (preserve the right to defence).
Implement the measure you announced (e.g., a written warning, reassignment to another position, or, where appropriate, notice of termination or immediate termination of employment).
Document everything in the personnel file.

It is not easy, especially if the employee is experienced and tough. If you hesitate and communication is not clear, you risk the situation worsening.

Final summary

Bullying by an employee towards others or management is not something an employer should ignore or handle informally. It is a direct breach of the law that exposes the company to fines, litigation, and reputational damage. The employer is also liable for bullying committed by “just” an employee—passivity costs companies more than active resolution.

The key steps are straightforward: accept the report (ideally via an internal whistleblowing system), investigate impartially, gather evidence, communicate with both the victim and the perpetrator, and adopt measures proportionate to the seriousness of the situation, with due regard to whistleblower protection. If you proceed diligently and document your steps, you will significantly strengthen your position if an inspection or court dispute follows.

The attorneys at ARROWS advokátní kancelář can guide you through this entire process, from preparing internal policies to representation in court proceedings. We have experience and understand the practical challenges employers face. Contact us at office@arws.cz to arrange a consultation. The sooner you reach out, the better we can help.

FAQ: Most common questions on investigating bullying and the resolution process

1. Do I have to investigate bullying even if I think the victim made it up?
Yes. The Czech Labour Code and the Whistleblower Protection Act require you to do so. Even if you suspect the victim is lying, you must follow the procedure: record the report, interview the victim, and gather evidence. A court will later assess you based on how you conducted the investigation, not on what you privately believed.

2. What if I bring the perpetrator and the victim together during an investigative interview?
Generally, this is not recommended. The victim may feel threatened, and the perpetrator may feel intimidated. Speak to them separately. If you want the victim and the perpetrator to meet, it should be in a neutral setting in the presence of a third person (HR, mediator), and only if the victim agrees.

3. If the investigation shows that the victim lied or exaggerated, can I discipline them?
You must be careful. If you find that the bullying did not actually occur or was fabricated, you can close the matter. However, if the victim knowingly made a false report with the intent to cause harm (which is rare), then theoretically yes. In all cases, consult attorneys first—otherwise you risk a discrimination claim or a claim for breach of whistleblower protection.

4. Can an employee whom I have found to have engaged in bullying remain in their job role?
It depends on the severity. If the employee committed bullying over a long period and knowingly, and is a managerial employee, you should seriously consider whether you can keep them in their position. If you leave them in place without visible measures, employees will think the company tolerates bullying. This will then cause you further legal issues and a loss of trust.

5. How can I prevent an employee whom I have found to have engaged in bullying from claiming it is retaliation?
You must have a clear and documented procedure. Record all steps you have taken: when you started the investigation, whom you spoke with, what evidence you had, and what your conclusion was. If you proceed consistently and in line with internal policies and the Whistleblower Protection Act, it will be difficult to argue that you retaliated. If you proceed uncertainly or intuitively, that is exactly what gives the perpetrator a chance. ARROWS can advise you on how to document the procedure properly.

Disclaimer: The information contained in this article is for general informational purposes only and serves as a basic guide to the issue as of 2026. Although we strive for maximum accuracy, laws and their interpretation evolve over time. We are ARROWS Law Firm, a member of the Czech Bar Association (our supervisory authority), and for the maximum security of our clients, we are insured for professional liability with a limit of CZK 400,000,000. To verify the current wording of the regulations and their application to your specific situation, it is necessary to contact ARROWS Law Firm directly (office@arws.cz). We are not liable for any damages arising from the independent use of the information in this article without prior individual legal consultation.

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