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Responding to whistleblower disclosures with defensiveness is "dangerous", an employer's $7.5 million penalty highlights.
Global mining company TerraCom, which owned Queensland's Blair Athol Coal Mine, was last week ordered to pay the penalty, plus $1m in costs, for breaching section 1317AC(1) of the Corporations Act.
The Federal Court found it victimised a former managing director who had made qualified disclosures, and that its public statements about him caused reputational damage, hurt, humiliation, distress and embarrassment.
The decision confirms that "emotional and reputational harm is [a] legally actionable detriment under the Corporations Act", Your Call managing director Nathan Luker tells HR Daily...
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