Workplace investigations have taken on new significance in Canadian employment law. Human rights legislation has mandated a prompt and effective investigation. Occupational Health and Safety legislation has done the same.

Common law cases have, in effect, mandated a proper and thorough examination of the circumstances leading to dismissal, particularly in cases involving serious allegations of just cause.

Although certain cases have noted that the duty to investigate is not implanted into Canadian law, the reality is that the failure to do so will expose the employer to the potential of significant incremental damages.

The Ontario Superior Court in Downham awarded $50,000 in aggravated damages, $100,000 in punitive damages and $20,000 of the intentional infliction of mental distress due to the failure of the company to provide a proper investigative foundation for dismissal.

The Alberta Court of Appeal made a similar award in Elgert of $75,000 in punitive damages.

Pate v Galway, admittedly an unusual case due to criminal charges which stemmed from the flawed investigation, allowed a damage award of $75,000 for aggravated damages plus $450,000 in punitive damages.

A similar finding was made in a Canada Labour Code unjust dismissal case of Joseph in which the adjudicator, upheld by the Federal Court ordered $85,000 in aggravated and $100,000 in punitive damages.

The Ontario Court of Appeal in Boucher v Wal-Mart, in reducing the trial award of $1 million in punitive damages, nonetheless, allowed for a total claim in excess of $400,000 for aggravated and punitive damages and a tort claim for the intentional infliction of mental distress.

In each instance, a proper and fair investigation would not only have eliminated these incremental damages, but also have very likely avoided the human suffering and personal angst endured needlessly by the plaintiffs and all others witnessing the personal catastrophe which ensued.