(CNN) Michael Douglas has denied what he says is a forthcoming claim of sexual harassment against him in a new interview with Hollywood trade publication Deadline.

The veteran actor says The Hollywood Reporter, Deadline's competitor, is pursuing a story about him in which a former employee claims Douglas masturbated in front of her, used improper language in her company, and prevented her from getting other work in the entertainment industry.

Douglas denies the allegation of a sexual nature and the claim of retaliation. But, he added, "I will fess up to colorful language."

"I felt the need to get ahead of this," he told Deadline

Douglas says his accuser is a woman who worked in development at his company approximately 32 years ago and was fired "for the work she was doing."

Read More