When will a Flawed Harassment Investigation create a Constructive Dismissal?

FWC recently in Courtney Sewell v dnata Airport Services Pty Limited [2025] FWC 2823 found that serious flaws in dnata’s handling of a sexual harassment complaint—combined with its refusal to adjust rosters – left the employee with no choice but to resign. The employee reported that a male colleague made inappropriate comments about her wearing a hijab and mini skirt to a social event, which made her feel extremely uncomfortable. She followed internal channels to report the incident, but the investigation process quickly began to unravel.

Although the employer initially responded with support and temporarily removed the male employee from the workplace, it failed to provide the complainant with a written outcome until weeks later – and only after she followed up multiple times. Meanwhile, the male employee was told in writing that the allegations were unsubstantiated and was scheduled to return to work alongside the complainant.

FWC found that the employer’s refusal to adjust the roster, its inconsistent communication and its failure to interview key witnesses created a situation where the employee reasonably felt undervalued and unsafe. Her resignation was deemed a constructive dismissal and she was awarded six months’ compensation.

Our Take

Ouch! We rarely see FWC dishing out the maximum compensation but clearly they considered this was a textbook example of how not to handle a harassment complaint. While the employer started off on the right foot – offering support and initiating an investigation – it quickly lost credibility by failing to communicate clearly, delaying written outcomes and refusing to make practical adjustments to protect the complainant.

The decision highlights the importance of consistency, transparency and empathy in workplace investigations. When an employee raises serious concerns, especially about harassment, the employer must not only investigate thoroughly but also ensure the employee feels safe and supported throughout the process.

The fact that the employer gave the alleged harasser a written outcome but only verbally informed the complainant speaks volumes. It’s not just about process – it’s about respect. If your actions make an employee feel abandoned, you’ve already lost their trust.

Action Items:

• Train Managers on Complaint Handling - Ensure frontline managers understand how to respond to harassment complaints with empathy and clarity.

• Provide Written Outcomes to All Parties - Always provide written summaries of investigation findings to both complainants and respondents.

• Interview All Relevant Witnesses - Don’t rely solely on the accounts of the two parties involved—follow up with anyone the complainant says they spoke to.

• Adjust Rosters to Protect all Parties - Be flexible with scheduling to avoid forcing complainants to work alongside alleged harassers. This is not discrimination—it’s duty of care.

• Ensure Consistency in Communication - Align verbal and written communications. Mixed messages erode trust and can lead to legal exposure.

• Review Investigation Procedures - Regularly audit your investigation processes to ensure they’re fair, thorough and trauma-informed.

Edge Legal

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