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"Reasonable schemes reasonably implemented can miscarry without rendering them unreasonable," a commissioner has stressed, in rejecting the psychological injury claim of an employee who had a "troubling propensity for embellishment".

Queensland Industrial Relations Commissioner John Dwyer found that although the employee's manager failed to "perfectly" execute a conduct management process, his actions were "legitimate and reasonable".

In December 2020, the Surfstitch employee sought compensation for "mental distress", which she said was caused by her manager giving her an allegations letter and revealing sensitive information "in front of many people".

Her application was rejected, however, on the basis her psychological injury was caused by reasonable management action taken in a reasonable manner...