Actually, it has teeth. If a worker can prove their boss allowed or encouraged customer harrassment*, they can sue their company for power harassment**, and expect a decent cash payout and protection from retaliatory acts.
* I’m 40 and most people my age have a story of when they were forced by a manager to beg a customer or client for forgiveness for a “mistake” that often existed only in the customer’s head.
** IANAL but pressuring your subordinate to do something illegal sounds like a textbook case of power harassment