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Holiday Parties, Power, and Professional Boundaries

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Holiday parties are meant to be a celebration, and a chance for colleagues to unwind, connect, and mark the end of a demanding year. Yet, in many workplaces, these events give rise to sexual harassment. For many employees, what happens at a work celebration leads to lasting harm, driven by a familiar combination of alcohol, power imbalances, and supervisors who cross professional boundaries.

Alcohol and Power Imbalances at Work Events

In industries like finance, banking, private equity, and other Wall Street adjacent fields, workplace culture is often rooted in a longstanding boys’ club mentality. Within these environments, women may feel heightened pressure to drink in order to fit in socially, participate in networking opportunities, or gain access to informal mentorship that is readily available to their male colleagues.

That pressure is too often exploited by supervisors who wield significant control over employees’ careers. In many cases, a supervisor may deliberately isolate a subordinate by encouraging continued drinking or one-on-one time away from the group, creating circumstances that lead to sexual harassment. Under these conditions, declining advances or setting boundaries can feel impossible without risking one’s job, compensation, advancement, or professional reputation.

Consent and Power Imbalances in Supervisor Sexual Harassment Cases

Under New York State and New York City sexual harassment law, relationships or sexual conduct between a supervisor and a subordinate are closely scrutinized because of the inherent power imbalance in the workplace. When a supervisor has authority over hiring, firing, compensation, performance reviews, promotions, schedules, or future opportunities, a clear power imbalance exists.

In these circumstances, the law recognizes that an employee cannot freely consent to a supervisor’s sexual advances. Even if an employee does not explicitly say “no,” that does not mean sexual harassment did not occur. Silence, hesitation, or going along with a situation out of fear or pressure does not equal consent.

Workplace Sexual Harassment Extends Beyond the Office

A common misconception is that only conduct that occurs in the office during the workday is actionable under the law. In reality, workplace sexual harassment is illegal under New York State and New York City law even when it occurs after hours or off-site, including at bars, restaurants, hotels, or company holiday parties.

When a supervisor uses their position to harass an employee in a work-related setting—whether at a formal company event or an informal gathering connected to work—the employer may still be held responsible. The law focuses on the connection to the workplace, not the physical location of the misconduct.

Simply put, a company cannot avoid liability because harassment happened outside the office, and employees are entitled to the same legal protections wherever work-related events take place.

Alcohol Does Not Excuse Workplace Harassment

Many employees walk away from these experiences believing the same thing: “This is my fault. I shouldn’t have had so much to drink.” Although this is a common reaction, it is not the employee’s fault.

The law places responsibility where it belongs: on the supervisor who created, escalated, or exploited the situation, not on the employee who felt pressured to participate in workplace culture.

Reach out to the Arcé Law Group for a Free Consultation

If something about a work holiday party did not feel right, contact Christine Hintze or any of the other attorneys at the Arcé Law Group for a free consultation.