Employer Liability in Well-Intentioned Internal Investigations

The Complex Issue of Employer Liability in Well-Intentioned Internal Investigations

Employers are responsible for maintaining a safe and productive work environment for their employees. To achieve this, conducting internal investigations is a vital process to address any concerns or allegations of misconduct within the workplace. A well-intentioned internal investigation will not attract liability for negligent investigation.

No Duty of Care

In the recent decision of Salina v. Investors Group Financial Services Inc., the Supreme Court of British Columbia, the Court affirmed an earlier precedent that “there is no liability in tort for employers conducting internal investigations of their employees’ conduct”.  The Court held that “the law is clear that, for public policy reasons, there is no liability in tort for an employer conducting a negligent internal investigation into an employee’s conduct”. The policy reasons include encouraging the reporting and detection of wrongdoing.

Protection May Not Extend To An Individual Decision Maker Investigating With Malicious Intent

However, if an individual decision maker investigates with malicious intent there may be possible causes of action in tort against a professional investigator and against an individual decision-maker who has personally engaged in misconduct.  Therefore, employers should ensure that all investigations are conducted fairly and in good faith.

Conducting internal investigations is an essential aspect of ensuring a safe and productive workplace. Employers should not fear liability when it conducts internal investigations, provided that the investigation is initiated and conducted fairly and in good faith.  Employers can take proactive steps to mitigate the risks of liability by preparing an investigation plan, provide the employee a reasonable opportunity to respond to allegations, and ensure impartiality throughout the investigation process.

Contact Us!

Want to work with us? Contact Us today with your private investigation needs. We provide private investigation service in Toronto, across the GTA and surrounding areas.

Our conversions are 100% private and confidential. We’re here to help.