This past October, the large advertising agency Dentsu America and its CEO were named as defendants in a sex harassment and discrimination lawsuit, Biegel v. Dentsu Holdings USA, Inc., filed by one of its former creative directors in New York federal court. Plaintiff Steve Biegel alleges, among other things, that while in Tokyo on business, he and his co-workers were compelled to attend a work outing at a Japanese bath house with one of his superiors at Dentsu, CEO Toyo Shigeta. In court papers, Biegel alleges that while at the bath house, he and his co-workers were “expected to climb naked” into a bath with Shigeta. Biegel claims in his complaint that he was “offended and humiliated by this outrageous, sexually degrading experience imposed upon him as a condition of his employment.”
The defendants in their court papers do not deny that Biegel was taken to the Japanese bath house by Shigeta. Instead, the defendants challenge his allegation by claiming that Biegel waited over a year-and-a-half after purportedly visiting the bath house before he allegedly spoke to Shigeta about it. Further, the defendants maintain that the bath house is not “objectively offensive.” In moving to dismiss the complaint, the defendants argue that “well-known tourist guides such as Time Out Tokyo, Frommer’s Tokyo, Lonely Planet Tokyo and Rough Guide to Tokyo depict the Bathhouse as a classy, clean and traditional family venue...” The court papers also note that bath house patrons are provided with robes during their experience.
The defendants’ arguments with respect to the bath house may pose some challenges. Plainly, the disclaimer-like assertion, that bath robes are provided to patrons, fails to address the simple fact that the robes eventually are meant to come off, when one is stepping into the communal bath. Also, it's not effective for defendants to argue that bath houses have been a major part of Japanese culture and tradition, since today the bath house appears to be in decline. According to web-japan.org and japan-guide.com, the Japanese bath house, or Sento, has been decreasing in numbers in recent decades as private baths have become prevalent in Japanese homes.
Further, United States discrimination laws
rely on the perspective of the reasonable person to determine what is "sexual harassment." In our experience, international companies with offices in the U.S. may encounter issues where American social norms and broad human rights laws leave less room for conduct that may otherwise be considered acceptable in other countries.
When it comes to sexual harassment and the workplace, the maxim, “It’s all fun and games until someone loses an eye” sometimes becomes conventional wisdom. Corporate outings at bathhouses, brothels (also alleged in Biegel’s complaint) and strip clubs are activities that can become the genesis of sex harassment and discrimination claims, regardless of which country these outings occur in.