A recent decision from the Ontario Superior Court of Justice (the “Court”) has awarded 8-months notice, $125,000 in general damages under the Human Rights Code, and $50,000 in moral damages to an employee as compensation for wrongful termination and infliction of mental suffering. This decision illustrates how important it is for Employers to respond effectively when sexual harassment and assault occurs in the workplace.
Facts
In Stride v Syra Group et al, 2024 ONSC 2169, the Employer hired Ms. Stride as a superintendent to manage a building. In the course of her employment, Ms. Stride was subjected to sexual harassment, threats, and assault by two tenants of the building she managed. One tenant was charged and convicted in criminal court, while the other was arrested and entered into a peace bond. The Employer excluded the tenants from the building for a time, but later allowed both to return.
Ms. Stride later took a medical leave from her job to deal with mental health issues resulting from these incidents. The Employer sent Ms. Stride two letters requesting information about Ms. Stride’s restrictions and expected return-to-work date, stating she would be found to have abandoned her employment if she did not respond. Despite receiving a reply letter from Ms. Stride’s psychiatrist, the Employer terminated her and claimed the employment contract had been frustrated.
The Decision
The Court awarded Ms. Stride 8-months notice at common law, $125,000 in general damages for breach of the Ontario Human Rights Code (the “Code”), and $50,000 in moral damages, holding:
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- Ms. Stride had been terminated without cause and the employment contract had not been frustrated. The termination clause in Ms. Stride’s contract was unenforceable and the Employer had failed to specifically inquire about Ms. Stride’s return to work date before terminating her.
- The Employer had failed to take reasonable steps to address Stride’s harassment complaints. They did not prepare new harassment policies, they failed to investigate the incident themselves, and they did not adjust Stride’s working conditions after the tenants returned to the building, among other failures.
- The Employer should have known that terminating Ms. Stride while on leave for mental health issues and after she had provided a note from her psychiatrist would cause her additional mental distress.
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Takeaway and Impact
Employers must take reasonable steps to address harassment and assault when it arises in the workplace. Best practices include updating policies, providing training, taking precautions to protect the victim, and performing an independent investigation. Additionally, employers should be especially cautious when terminating employees on leave. Always inquire specifically about a return-to-work date before terminating. Additionally, keep in mind that minimizing the distress or harm done to the terminated employee can reduce the chances of moral damages being awarded at trial.
PooranLaw will continue to monitor the ongoing legal developments related to cases like these and report them here. In the meantime, if you require legal assistance, we encourage you to reach out to your regular PooranLaw lawyer, or any member of our team.
Note: This article provides general information only and does not constitute, and should not be relied upon as, legal advice or opinion. PooranLaw Professional Corporation holds the copyright to this article and its contents may not be copied or reproduced in any form, in whole or in part, without the express permission of PooranLaw Professional Corporation.
