In recent years we have seen a steady increase in workers seeking our assistance in respect to workplace bullying and harassment and the ensuing psychological injuries.

If you are bullied or harassed at work and are psychologically injured you can lodge an Application for Compensation.

As with all workers’ compensation claims the insurer needs to determine if you have suffered an “injury” as defined by the Workers’ Compensation and Rehabilitation Act 2003. Even if your medical specialist concludes that you do have a psychiatric/psychological injury which is work related, the legislation provides a specific exclusion which knocks out many of these claims for compensation. That exclusion is what is referred to as the reasonable management action exclusion. Specifically, the legislation states: –

“injury” does not include a psychiatric or psychological disorder arising out of, or in the course of, any of the following circumstances—

(a) reasonable management action taken in a reasonable way by the employer in connection with the worker’s employment;

(b) the worker’s expectation or perception of reasonable management action being taken against the worker;

(c) action by the Regulator or an insurer in connection with the worker’s application for compensation.

Examples of actions that may be reasonable management actions taken in a reasonable way—

• action taken to transfer, demote, discipline, redeploy, retrench or dismiss the worker

• a decision not to award or provide promotion, reclassification or transfer of, or leave of absence or benefit in connection with, the worker’s employment

Many employers argue that their actions or the actions of their employees have been reasonable when responding to claims arising from bullying and harassment. It is important that you have strong evidence to support your Application for Compensation when submitted.  If your Application for Compensation is rejected on the basis of reasonable management action, you can seek a review of that decision.

Keep in mind that there are strict time limits for lodging Applications for Compensation and for submitting Applications for Review.