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Raising performance issues with an employee on her first day back from an extended period of mental health leave caused her psychological injury, a commission has found.

The Department of Education teacher sought workers' compensation for an adjustment disorder with mixed anxiety and depressed mood, claiming she was targeted, bullied and harassed by the principal at her school from 2021 onwards.

The employer argued that she should not be entitled to compensation because her injury was caused by reasonable action with respect to performance appraisal and/or discipline, but NSW Personal Injury Commission Member Jacqueline Snell rejected this defence...