Major employers face scrutiny over workplace toilet policies after court ruling

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An investigation by campaign group Sex Matters claimed companies including NatWest, HSBC, Coventry Building Society and Admiral still allowed staff to access single-sex facilities based on self-identified gender rather than biological sex.

The investigation follows the Supreme Court’s ruling last year that the terms “man” and “woman” under the Equality Act 2010 refer to biological sex. Sex Matters said none of the 15 financial firms it approached confirmed that access to single-sex workplace facilities was restricted solely on the basis of biological sex.

The report said several organisations were waiting for updated guidance from the Equality and Human Rights Commission before making changes to workplace policies.

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Employers waiting for updated guidance

The issue has created growing uncertainty for employers attempting to balance equality obligations, employee wellbeing and workplace inclusion policies.

The Telegraph reported that some companies argued the Supreme Court ruling did not directly apply to workplace guidance, while others said they were awaiting further clarification from regulators.

James Townsend, head of employment law at Payne Hicks Beach, told the newspaper that employers were not required to wait for revised guidance before reviewing workplace arrangements. “The Supreme Court clarified over a year ago that ‘sex’ for equality law purposes means biological sex – employers may rely on this ruling to provide single-sex facilities for women in the workplace.”

He said the ruling created an opportunity for employers to review workplace privacy arrangements. “Reasonable employers would cater for single-sex spaces where needed.”

Employee relations concerns growing

The report also suggested some staff felt uncomfortable raising concerns internally because of fears about workplace repercussions.

According to The Telegraph, Sex Matters said some employees felt unable to speak openly about workplace facilities policies because they feared damage to their careers. The organisation also claimed some female staff felt frustrated that policies had not been updated following the court ruling.

Insurance firm Admiral said it was awaiting updated Equality and Human Rights Commission guidance before changing workplace procedures. “While we await the release of the updated EHRC code of practice, our policies and procedures will remain the same and we maintain our approach to colleagues having a respectful workplace.”

NatWest also said it would review its position if further workplace guidance is issued. HSBC, Coventry Building Society and the Co-operative Bank reportedly declined to comment.

Employers facing growing compliance pressure

The issue is likely to increase pressure on HR and legal teams to review workplace policies concerning single-sex spaces, inclusion and employee wellbeing.

The Equality and Human Rights Commission has yet to publish updated guidance following the Supreme Court judgment, creating uncertainty for employers attempting to interpret how the ruling should apply within workplaces.

The debate comes amid wider scrutiny of how organisations balance competing rights and protected characteristics under equality law. Employment lawyers have warned that businesses may increasingly face employee relations challenges, grievances and potential legal disputes if workplace policies are viewed as unclear or inconsistent.

William Furney is a Managing Editor at Black and White Trading Ltd based in Kingston upon Hull, UK. He is a prolific author and contributor at Workplace Wellbeing Professional, with over 127 published posts covering HR, employee engagement, and workplace wellbeing topics. His writing focuses on contemporary employment issues including pension schemes, employee health, financial struggles affecting workers, and broader workplace trends.

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