In the recent case of Menere v Poolrite Equipment Pty Ltd and Anor [2012] QCAT 252, the employer, Poolrite, was found not to be vicariously liable for sexual harassment engaged in by one of its employees.

What does this mean for employers?

This case demonstrates that employers who have done 'more than merely have a policy in place' for preventing and dealing with sexual harassment will be better placed to avoid vicarious liability for sexual harassment engaged in by an employee.

The case in brief

Mr Menere was employed by Poolrite as a casual assembly line worker. On a number of occasions over a four month period in 2008, Mr Menere experienced unwelcome conduct from Mr Singh, another Poolrite employee, including inappropriate comments, gestures and physical contact of a sexual nature.

When Poolrite's operations manager became aware of the incidents, he conducted an investigation into the matter and, when Mr Singh failed to deny Mr Menere's allegations, Poolrite summarily terminate Mr Singh's employment.

Mr Menere brought a claim against Mr Singh and Poolrite for the anxiety and other symptoms he suffered as a result of Mr Singh's conduct. Mr Menere sought financial compensation for past and future medical expenses, as well as damages for hurt and humiliation.

The decision

Poolrite argued that it was not vicariously liable for Mr Singh's conduct because it had taken reasonable steps to prevent Mr Singh from engaging in sexual harassment.

In considering whether Poolrite had taken all reasonable steps to prevent the conduct, the Tribunal placed particular emphasis on the following factors:

  • As part of its induction process, Poolrite provided all employees, including Mr Singh, with an employee handbook which included a detailed section dealing with sexual harassment.
  • Poolrite caused its employees to attend training on sexual harassment in the workplace on a number of occasions, both before and after the incidents occurred.
  • Once Poolrite's operations manager became aware of the incidents, he conducted an investigation and terminated Mr Singh's employment.

The Tribunal held that Poolrite was not vicariously liable for Mr Menere's conduct because it had taken 'sufficient positive steps to ensure awareness and attempted compliance with appropriate workplace practices'.

Tips for employers

  • Employers should ensure that their employees are made aware of and provided with copies of the applicable sexual harassment policy and/or code of conduct.
  • Employees should receive training in the areas of sexual harassment, bullying and equal employment opportunity on a regular basis.
  • Employers should ensure that if sexual harassment does occur in the workplace, they investigate the incident swiftly and deal with the matter appropriately.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.