Under California law, employers have an independent duty to promptly and thoroughly investigate and take reasonable steps to prevent and remedy harassment and discrimination. When companies fail to handle discrimination and harassment claims properly, it can cost them big. Ultimately, an improperly handled claim can result in the employer being held liable for its supervisors' or employees' misconduct.

The most difficult aspect of an employer's duty to investigate is identifying when the duty arises. By law, the duty to investigate is triggered at the time an employer knows or should know about the harassment or discrimination. Along these lines, any source of information can put an employer on notice of possible inappropriate conduct. For example, an employer can be put on notice by complaints (written or verbal) from employees, supervisors, administrative personnel, vendors, or anonymous sources. An employer can also be put on notice by observing inappropriate behavior first hand. If an employer is unsure whether a complaint or observation constitutes notice of inappropriate behavior, a good rule of thumb is to investigate anyway.

Once the employer is on notice of harassment or discrimination, regardless of how trivial the conduct at issue may initially appear, the employer has a duty to take the claim seriously. An immediate, unbiased investigation must take place, and if necessary, prompt and effective corrective action must be implemented to stop the behavior. This is true even if no formal complaint is ever filed, or even if the complaining employee specifically asks that no action be taken. Further, an investigation should move forward even when the conduct at issue has stopped prior the investigation being completed.

The key to limiting exposure to harassment and discrimination claims is to stop inappropriate behavior early. Do not wait until a lawsuit is filed to take action. If you need help addressing an employee complaint or implementing an effective discrimination and harassment policy, contact the attorneys at Navigato & Battin for assistance.