Why workplaces need independent workplace investigators for bullying and harassment claims.
In today’s workplace, managing complaints about bullying and harassment isn’t just about compliance; it’s about protecting an organisation’s reputation, maintaining employee morale, and reducing legal risks. Yet, many companies make the mistake of either ignoring these claims, delaying investigations, or conducting investigations internally without an independent worplace investigator.
Here, we’ll explore why it’s crucial to bring in an independent workplace investigator for these cases, using a specific case study to highlight the risks organisations face when bullying and harassment claims are not handled effectively.
The costly consequences of ignoring a workplace harassment or bullying claim.
A real-life case study
A fictional Sydney-based retail company, RetailConnect, recently learned the hard way about the importance of properly addressing harassment and bullying claims. An employee lodged a complaint, detailing ongoing verbal abuse and intimidation from their manager. Instead of bringing in an external investigator, the HR department conducted a brief, internal investigation. They didn’t find sufficient evidence and dismissed the complaint, reasoning that the manager was “essential to operations.” The employee, feeling dismissed, escalated the matter externally, ultimately leading to a legal dispute.
This case study demonstrates what can go wrong when organisations downplay bullying claims or rely solely on internal reviews. Here are the key risks of not conducting thorough, independent workplace investigations.
1. Legal and Financial Risks
- Compensation Claims: Ignoring or inadequately addressing harassment claims can lead to compensation claims under Australia’s Fair Work Act and Work Health and Safety regulations. In RetailConnect’s case, the employee’s complaint led to an external review, and they were awarded compensation due to the psychological distress experienced. Had an independent investigator been used, the findings could have mitigated these damages by addressing the complaint before escalation.
- Penalties and Compliance Breaches: Failing to address bullying allegations also puts companies at risk of compliance breaches, leading to penalties from organisations like SafeWork NSW. These breaches become particularly likely if the findings indicate a pattern of negligence in handling workplace complaints.
2. Reputational Damage
- Negative Publicity: In an age of social media and online reviews, employees who feel their complaints weren’t handled appropriately are more likely to speak publicly about their experiences. RetailConnect faced reputational damage when the details of their mishandling were shared online. The impact on reputation can deter talent and business opportunities.
- Lost Trust Among Employees: When bullying or harassment claims are mishandled, staff morale can take a serious hit. Employees at RetailConnect reported feeling less confident in reporting future issues, fearing their concerns wouldn’t be taken seriously. This created a more toxic environment and made it harder for the company to address future concerns.
3. Impact on Workplace Culture and Productivity
- Decline in Morale and Engagement: When employees see that harassment claims aren’t thoroughly investigated, they may feel unsafe and disengaged. The fallout from RetailConnect’s case led to increased absenteeism, stress-related leave, and a noticeable decline in team morale and engagement, affecting productivity across the board.
- Higher Turnover Rates: Organisations that fail to address bullying and harassment typically see higher turnover, as employees prefer to work in environments where they feel supported and safe. RetailConnect eventually saw a wave of resignations, with employees citing lack of trust in the company’s handling of workplace complaints as a reason for leaving.
4. Missed Opportunities for Preventative Measures
- Policy and Culture Improvements: Independent investigators can provide valuable insights into how an organisation’s policies and culture may contribute to bullying and harassment issues. Because RetailConnect didn’t receive an external investigator’s perspective, they missed out on opportunities to improve policies, educate their managers, and strengthen their workplace culture.
- Early Detection of Broader Issues: Often, complaints signal underlying problems within the team or department. Independent investigators can identify and flag broader patterns, allowing organisations to address them proactively. Had RetailConnect invested in an independent review, they may have discovered the issue wasn’t isolated to one employee and could have mitigated future complaints.
Why independent workplace investigators are essential.
Using an independent workplace investigator brings an objective, impartial approach to workplace complaints. This is particularly valuable for the following reasons:
- Impartiality: Independent investigators ensure there’s no bias toward influential employees or managers, which can happen with internal reviews. In cases like RetailConnect, an external party would have ensured a fair assessment without being influenced by the manager’s “essential” role.
- Credibility of Findings: The credibility of findings from an external investigator can provide essential protection if complaints escalate to legal proceedings. The documentation provided by an independent investigator can reinforce that the investigation was unbiased and thorough.
- Insights for Long-Term Prevention: Independent investigators are skilled at identifying patterns that may be contributing to ongoing workplace issues. This proactive approach offers the organisation valuable feedback for improvement.
Key takeaways: The risks of not investigating bullying claims properly.
Failing to investigate bullying and harassment claims with an objective lens can be costly for organisations. Beyond compliance risks and potential legal claims, not acting on these complaints can harm workplace culture, morale, and trust among employees. By investing in an independent workplace investigation, organisations can ensure that these cases are handled fairly and professionally, reducing both immediate and long-term risks.
Need workplace bullying or harassment advice?
For employers facing bullying and harassment complaints, engaging an independent workplace investigator can make a significant difference. Ensuring an objective investigation reduces legal risks, protects your reputation, and strengthens workplace culture.
If your organisation is navigating a bullying or harassment complaint, reach out to David Haydon for expert guidance on independent workplace investigations. David is an employment relations specialist, highly experienced workplace investigator and independent HR consultant. He works with clients Australia-wide.
David Haydon
Employment Relations Specialist, Workplace Investigator and HR Consultant