Greg Arnold
11 Sept 2024
The Supreme Court of New South Wales recently delivered a decision in a case involving the termination of a senior radiologist from a medical imaging company.
The Supreme Court of New South Wales recently delivered a decision in a case involving the termination of a senior radiologist from a medical imaging company. The case involved serious allegations, including workplace bullying, victimisation, and sexual harassment.
The Allegations
The worker faced serious accusations, including claims of bullying and victimisation towards a radiographer, primarily due to communication issues and perceived rudeness. Specific allegations included using post-it notes with capitalised text, which was considered aggressive, and speaking dismissively to the radiographer. Additionally, the worker was accused of sexual harassment of a female employee at the company Christmas party.
The Background
The radiologist, a highly experienced professional with over 30 years in the field, had sold his successful medical imaging practice to the employer in 2019. Following the sale, he entered into a three-year fixed-term employment contract with the employer.
Around a year into this relationship, a radiographer raised complaints about the worker’s behaviour, escalating to formal grievances lodged with the employer’s HR department. These allegations led to an investigation resulting in the worker’s summary dismissal in May 2022, three months before his contract was set to expire.
Employer Argument
The employer argued that the worker’s conduct constituted serious misconduct, justifying immediate termination without notice. They cited breaches of the employment contract which amounted to serious misconduct. Specifically, they highlighted:
Bullying behaviour towards the radiographer, including constant belittling and isolation.
Victimisation of the radiographer.
The alleged sexual harassment incident at the 2021 Christmas party.
The employer maintained that these behaviours violated workplace policies and materially damaged the company, warranting summary dismissal.
The Worker’s Defence
The worker denied the allegations, asserting that his interactions with the radiographer were related to performance issues and frustrations with the employer’s computer systems. Regarding the Christmas party incident, he explained that he was demonstrating the traditional New Zealand dance (the haka), and not making an inappropriate gesture.
The worker argued that he was not given an opportunity to respond to the allegations before his termination and sought damages for wrongful dismissal.
The Decision
The Court reviewed the evidence and acknowledged that there were issues in the worker-radiographer relationship but found that some serious allegations were unsubstantiated. The judge noted that while the worker’s behaviour was occasionally rude and unprofessional, it was not to such a level as to constitute bullying as defined in the employer’s handbook. Moreover, there was insufficient evidence to support the sexual harassment claim.
The Court emphasised the high threshold for summary dismissal, stating it should only occur in exceptional circumstances involving serious misconduct.
The judge stated:
"The right of an employer to terminate the employment of an employee summarily or without notice is a right that should only arise in exceptional circumstances. Exceptional circumstances would generally involve some form of serious wrongdoing or misconduct on the part of the employee."
The Court found the employer lacked clear evidence of such misconduct and ruled in favour of the worker, stating the employer was not entitled to summarily dismiss him.
Damages Awarded
The Court limited damages to the remaining three months of the fixed-term contract plus an additional three months' notice period. The total damages awarded was $367,952.56.
This decision underscores the importance of thorough investigations, procedural fairness, and careful consideration of fixed-term contract terms when dealing with workplace complaints and potential dismissals.