Case Summary
In Dabbagui v. AV Terrace Bay, 2026 HRTO 784, the Human Rights Tribunal of Ontario found that an employer breached the Ontario Human Rights Code after failing to properly investigate an employee’s complaints of workplace racism and discrimination.
Although the employer maintained that the employee was terminated during his probationary period because of performance and attitude concerns, the Tribunal concluded that the company’s failure to meaningfully investigate allegations of racist treatment meant discrimination could not be ruled out as a factor in the termination decision.
The employer was ordered to pay $10,000 in damages for injury to dignity, feelings, and self-respect, review its discrimination investigation procedures, and post Human Rights Code information in the workplace.
Background
The applicant was hired as a Power Systems & Electrical Engineer at a pulp mill in Terrace Bay, Ontario, in March 2022.
During his employment, he alleged that he experienced racist comments and harassment related to his race, ethnicity, place of origin, and Muslim faith. According to the employee, he was subjected to comments such as being called a “terrorist,” “Pakistani,” and being told he spoke a “terrorist language.”
In June 2022, approximately one month before his employment was terminated, the employee submitted written complaints to management and human resources. In those communications, he explicitly requested an investigation into what he described as a discriminatory workplace environment.
Despite those complaints, the employee’s employment was terminated on July 4, 2022, while he was still within his probationary period.
The employee subsequently filed an application with the Human Rights Tribunal of Ontario.
The Key Issue
The central question before the Tribunal was whether the employer discriminated against the employee in employment contrary to section 5 of the Human Rights Code.
More specifically, the Tribunal examined whether the employer fulfilled its obligation to investigate complaints of workplace discrimination and harassment after being notified of the allegations.
What the Evidence Showed
The Tribunal heard evidence that:
- The employee submitted written complaints alleging workplace racism and discrimination.
- Management received those complaints before the termination decision was made.
- No formal investigation report was created.
- The employee was never interviewed regarding his allegations.
- No meaningful follow-up occurred with the employee after the complaints were raised.
- The employer largely relied on information provided by a manager who was himself implicated in some of the allegations.
The mill manager testified that performance concerns ultimately led to the termination decision. However, the Tribunal found there was little evidence that the discrimination complaints were ever investigated in a meaningful way.
The Tribunal’s Decision
The Tribunal found in favour of the employee.
While the adjudicator rejected many of the employee’s other allegations as unrelated to the Human Rights Code, the failure to investigate the discrimination complaints proved decisive.
Employers Have a Duty to Investigate
The Tribunal reaffirmed that employers have a legal obligation to investigate complaints of discrimination and harassment.
This duty exists because employers are responsible for maintaining workplaces that are free from discrimination. An employer cannot simply ignore allegations and later claim that discrimination did not occur.
The Tribunal noted that investigating complaints is one of the primary ways employers demonstrate compliance with their human rights obligations.
The Complaints Were Not Taken Seriously
The Tribunal found several shortcomings in the employer’s response:
- The complaints were not addressed promptly.
- No formal investigation process was initiated.
- No investigator was appointed.
- No investigation report was produced.
- The employee was not interviewed.
- The employer failed to communicate any findings or resolution.
Instead, management relied primarily on discussions with individuals connected to the allegations and proceeded with the termination decision.
Discrimination Could Not Be Ruled Out
Although the employer argued that poor performance and attitude issues justified the termination, the Tribunal concluded that the lack of an investigation left open the possibility that discriminatory treatment influenced the outcome.
Because the employer failed to meaningfully investigate the allegations, it could not demonstrate that race and creed did not play a role in the events leading to the employee’s dismissal.
As a result, the Tribunal found that discrimination was a factor in the termination and that the employee’s rights under the Human Rights Code had been infringed.
Remedies Awarded
The Tribunal ordered the employer to:
- Pay the employee $10,000 for injury to dignity, feelings, and self-respect.
- Pay pre-judgment and post-judgment interest.
- Post Human Rights Code information in the workplace.
- Review and implement, as necessary, policies for investigating discrimination complaints.
- Provide proof that these steps had been completed.
The Tribunal declined to award lost wages because those issues had already been addressed through separate proceedings.
Why This Decision Matters for Employers
This decision highlights that an employer’s legal exposure may arise not only from discriminatory conduct itself, but also from failing to respond appropriately when concerns are raised.
Even where an employer believes there are legitimate performance concerns, discrimination complaints cannot be ignored or treated as secondary issues.
When allegations involve race, religion, ethnicity, or other protected grounds, employers must ensure that a fair and documented investigation occurs before making significant employment decisions.
Employer Takeaways
Take Every Complaint Seriously
Employees do not need to use legal terminology or submit perfectly drafted complaints to trigger an employer’s obligation to investigate.
Investigate Before Acting
Where discrimination allegations have been raised, employers should conduct a timely and impartial investigation before proceeding with disciplinary or termination decisions.
Document the Process
A thorough investigation should include interviews, findings, written records, and communication of outcomes to the parties involved.
Avoid Relying Solely on Accused Individuals
An investigation that depends exclusively on information from people implicated in the complaint may be viewed as inadequate and biased.
Train Managers on Human Rights Obligations
Supervisors and managers should understand how to recognize discrimination complaints and what steps must be taken once concerns are raised.
Final Thoughts
The Human Rights Tribunal of Ontario’s decision serves as a reminder that the duty to investigate is not merely a best practice; it is a fundamental component of an employer’s human rights obligations. Even where an employee is on probation and performance concerns exist, employers must respond appropriately to allegations of discrimination. Failing to do so can result in liability, damages, and mandatory workplace policy changes.
Source: https://www.canlii.org/en/on/onhrt/doc/2026/2026hrto784/2026hrto784.pdf
