Sexual harassment is divided into two parts usually. The first kind is called Quid Pro Quo (roughly meaning “something for something”) and the second kind is "creating a hostile working environment.
The first kind usually results in no warning and immediate dismissal. The second kind (which may not even involve sex, but falls under that umbrella) results in warnings first.
Quid Pro Quo sexual harassment, can be a subordinate harassing a manager. It can be anyone, a vendor, a customer, a guest, a third party contractor.
Quid Pro Quo sexual harassment also contains the terms “No means no.” This means one attempt isn’t sexual harassment but “No” is the key word. If I say “Hi, would you like to go out on a date?” That is not sexual harassment. If the person say “No, I’d wouldn’t” at this point, “No MEANS no” and any further attempts to ask out the person on a date would result in quid pro quo sexual harassment.
The second part of sexual harassment is “creating a hostile working environment.” As you can see that may or may not involve sex, but comes under that umbrella.
The phrase "“Gee, honey, I would love to have those beautiful breasts all over my face.” falls under the “creating a hostile working environment,” part as there’s no direct offer of quid pro quo or “Something for something.”
Creating a hostile working environment is a difficult thing as it is wide open to interpretation. For example posting the ten commandments at a PBX station to inspire you may be creating a hostile working environment, as a PBX is likely to be viewed by everyone in the workplace. But if you are a manager with a private office that no one should be in, then you’d be allowed to do this.
So you can see rules DO vary. The same way some employees can be required to wear a uniform, and others can wear what they’d want.
I can give you a good example. I used to work in a hotel. I work out a lot and have a great body. I would come to work after they gym and I’d be wearing a tank top and shorts and go in the locker room and chage. H/R told me to stop this. I asked why, I said, “Other people where tank tops and shorts and change at the hotel.” The H/R director said, “Yes Mark, but not with the same results.”
Basically it was causing talk, so I just switched to sweat pants and a long sleeved shirt when I worked out and came over to change.
You have to fully understand a HOSTILE working environment is not the same thing as an unpleasent working environment. You can be surrounded by unpleasent people and that doesn’t make it hostile. A hostile working environment is one that actively makes it nearly impossible for you to do your job.
A third portion that comes under sexual harassment is a manager/supervisor duty to report things. If they see something that is quid pro quo or creating a hostile working environment, employees in managerial or supervisory roles have an obligation to report this, or their company may be found liable.
Employees without managerial or supervisory roles do not have a duty to report it, but they are encouraged to do so.