Not Digging Deep Enough? The Dangers of Mediocre Workplace Investigations

In a recent employment discrimination case, the plaintiff, a Black employee, claimed his termination following a workplace investigation into complaints about his conduct at work, was racially motivated. The employer tried to dismiss the case, but failed. Find out why and I’ll throw in a few takeaways about the importance of conducting fair and unbiased workplace investigations.

Case Breakdown: When Investigations Raise More Questions

The plaintiff was employed as a Director of Compliance and Risk Management. A dispute arose when a contractor, whom the plaintiff oversaw, complained about the plaintiff’s behavior, including an alleged racist comment. Specifically, the contractor claimed that during a conversation, the plaintiff remarked that he “preferred chocolate cake to vanilla cake” as an explanation for his management style. The contractor interpreted this as a racially charged statement implying favoritism toward Black employees over white employees. This complaint prompted an internal investigation by the employer’s Office of Ethics.

The investigation determined that the plaintiff had violated company policies by retaliating against the contractor and not fully cooperating with the inquiry. However, the court found genuine issues of material fact regarding whether the investigation and subsequent termination were discriminatory. The court noted that other employees in similar positions, who were white, were not subjected to the same level of scrutiny or disciplinary action.

A central issue in the court’s decision was whether the plaintiff’s colleagues, who were involved in the same events, were similarly situated but treated differently. The court emphasized that “a reasonable jury could find that the plaintiff’s white colleagues, who were aware of and involved in the same termination decision, were not disciplined or investigated in the same manner, despite being subject to the same policies.” This underscores the need for employers to ensure consistent and equitable treatment of employees, regardless of race or other protected characteristics.

Employer Takeaways: How to Keep Investigations Above Board

• Fair and Thorough Investigations: Workplace investigations should be objective and comprehensive. This means considering all relevant parties, gathering all necessary facts, and avoiding premature conclusions. A rushed or incomplete investigation can undermine the credibility of employment decisions and expose the organization to legal risks.
• Document Everything: Keeping detailed records of investigations and disciplinary actions can help defend against claims of bias or unfair treatment. Transparent policies and procedures promote fairness and reduce legal risks.
• Consistency is Key: Similarly-situated employees should be held to the same standard. Unequal treatment of employees in similar situations can create legal exposure.

Final Verdict: Handle with Care (and Experience)

A well-handled investigation can resolve workplace issues effectively, but a biased or incomplete one can create serious legal and reputational risks. This case underscores the need for employers to take workplace investigations seriously. Investigations don’t have to be perfect. However, employers should ensure investigations are fair and thorough and that those conducting investigations are experienced, well-trained, and equipped with the necessary skills to assess facts objectively.