Swansea County Court heard that Nanette Bowen, of Llanelli, South Wales, was subjected to three years of harassment while working at Prince Philip Hospital.
Eric Lewis become her boss in 2000 when Llanelli and Dinefwr trusts merged to become Carmarthenshire NHS, the court heard.
In a statement, Unison said Mr Lewis made sexual innuendos towards Mrs Bowen and was regularly aggressive when challenged.
The 55-year-old soon began to suffer panic attacks and on one occasion was herself rushed to hospital with a suspected heart attack, the union said.
Swansea County Court found the former Carmarthenshire NHS Trust liable last February and the parties involved have now settled on compensation
The trust was taken to court after Unison took up Mrs Bowen's case.
Mrs Bowen said: "I am relieved that the case has finished, but this is not like winning the lottery, as the money can never make up for my life being ruined.
"I am still suffering and continue to have counselling to control my panic attacks."
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