Mad Mex franchisee to pay $305,000 in damages for sexual harassment claim
The Sex Discrimination Act 1984 (Cth) protects employees from sexual harassment, and as part of the Respect@Work amendments now prohibits sex-based harassment.
Read more...WorkSafe Victoria was recently successful in its prosecution of video production company, Indimax Film Productions Pty Ltd (the Employer) and its sole director for placing its workers at risk of sexual harassment in breach of the Occupational Health and Safety Act 2004 (Vic) (OHS Act).
In July 2022, a worker contacted WorkSafe Victoria alleging that they had been subjected to sexual harassment by the sole director over several months.
Following an investigation, WorkSafe Victoria alleged that the Employer did not:
- have a written policy and procedure in place to identify, prevent, manage, investigate or respond to sexual harassment in the workplace;
- have clear and confidential mechanisms for reporting sexual harassment, including avenues to make a report to someone other than the manager;
- train managers in upholding and applying the policy and procedure; and
- induct and train workers in relation to the policy.
In the proceedings before the Melbourne’s Magistrate’s Court (the Court), the Employer pleaded guilty to contravening section 21(1) of the OHS Act, which requires employers to provide and maintain a workplace that is safe and without risks to health, so far as is reasonably practicable.
The Court found that the sole director had sexually harassed the worker and that the Employer’s breach of section 21(1) of the OHS Act indicated a “complete disregard” for the potential and real risks of sexual harassment in the workplace.
As a result, the Employer was convicted and fined $40,000 (which was discounted from $50,000 because of its guilty plea). The sole director was also fined $15,000 for failing to provide or maintain a safe work environment and failing to take reasonable care as an officer of the company.
Risk Management and Training
This is one of the first WHS prosecutions related to sexual harassment in the workplace and should serve as a reminder for all employers (and Company officers) to ensure they and their employees undergo anti-harassment training. For those interested employers, please reach out to us as we can run training (online and in person) on the Respect @ Work obligations and best practice to prevent harassment at work.
Information provided in this news alert is not legal advice and should not be relied upon as such. Workplace Law does not accept liability for any loss or damage arising from reliance on the content of this news alert, or from links on this website to any external website. Where applicable, liability is limited by a scheme approved under Professional Standards Legislation.
