A recent employment case is making headlines after a Workplace Relations Commission ruling.
Centred on a CEO’s inappropriate behaviour, the case highlights the serious consequences of failing to prevent sexual harassment in the workplace.
Phone hacking
The former employee began working for the fashion firm in September 2017. The chief executive appointed her to the position after first making contact with her via social media.
In October, she and the chief executive had a business meeting in a hotel. The chief executive offered to let the woman charge her phone via his laptop. Then, after she had stepped out to use the bathroom, he hacked her phone and downloaded 20 images including some intimate ones that he then saved on his laptop.
She didn’t learn of the illegal phone hack until six months later when the chief executive told her he had to explain to his ex-partner about why he had photographs of a colleague on his computer.
Inappropriate behaviour
The chief executive’s unusual behaviour began almost immediately after the employee took up her position. He bought her jewellery and an iPhone on one occasion. She told him that the gifts were overly generous and they upset her as she didn’t want to be treated differently to other employees. Despite emailing him to say so, the inappropriate behaviour continued.
In November 2017, she and the chief executive travelled to Brazil for a business meeting. He told her it was in relation to a merchandising opportunity for large concerts. However, that wasn’t the case. Upon arrival in Brazil, he told her there was in fact no meeting.
The chief executive’s inappropriate actions continued after their return to Ireland.
Persistent sexual harassment
The WRC heard details of further incidences of sexual harassment carried out by the chief executive. These included his admission to falling in love with the employee, late-night messages and sexual innuendos. He continued emailing and texting her despite the woman rejecting his advances on multiple occasions.
Dismissal
After taking a week of annual leave, the employee was then abruptly dismissed on October 13th, 2018. She insisted the dismissal was due to her rejection of the chief executive’s advances, and that there were no substantive legal grounds for her dismissal or a fair procedure to reach the decision to dismiss.
Workplace Relations Commission ruling
Interestingly, the chief executive did not attend the hearing or instruct a representative to appear on his behalf. The evidence against him went largely uncontested.
The Adjudication Officer (AO) ruled that the ‘hacking and dissemination of the photographs violated the complainant’s dignity at work in the most egregious way.’
The AO deemed the chief executive’s actions to be ‘odious and egregious’ and found the employer vicariously liable for the actions of the chief executive.
In respect of the harassment claim, the AO awarded the maximum level of compensation allowed under the Employment Equality Acts (104 weeks of remuneration) which came to €64,999.92.
The AO also ruled that the employee’s dismissal was unfair. The employer failed to specify a substantial ground justifying the dismissal and failed to establish that the decision to dismiss was procedurally fair. He ruled that the complaint of unfair dismissal was also well founded and ordered the employer to pay €25,000 in compensation.
While the facts of this case were unique, the level of the award serves as a reminder to employers of the serious financial consequences of failing to prevent harassment in the workplace.
Need our help?
If you would like further complimentary advice on the issues raised in this article from an expert, our advisors are ready to take your call any time day or night. Call us on 0818 923 923 or request a callback here.
