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ARTICLE · 09 JUNE 2014

How Much Punishment Is Enough? Lessons Learned From "Boucher v. Wal-Mart Canada"

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The largest damage award in Canadian history for workplace bullying has been significantly reduced on appeal.

CanadaEmployment and HR
P.A. Neena Gupta
P.A. Neena Gupta
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The largest damage award in Canadian history for workplace bullying has been significantly reduced on appeal. But the standard of care imposed on employers to protect employees from harassment and abuse has not been lowered. The lessons from Boucher v. Wal-Mart Canada Corp., 2014 ONCA 419 are critical for responsible organizations.

Wal-Mart Canada Corp. ("Wal-Mart") convinced the Ontario Court of Appeal that a million dollar punitive damage award assessed by a Windsor jury in an employment matter was not "rationally necessary" to deter the alleged misconduct. The punitive damages were reduced by 90% to $100,000.

The case is extremely instructive. Despite Wal-Mart's significant victory on appeal, the case demonstrates how large sophisticated organizations with good policies can still be held liable for the misconduct of an employee.

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