Whistleblowers have received greater legal protection in recent years.
The post CBA (ASX:CBA) sued by whistleblowing governance manager appeared first on The Motley Fool Australia. –
In a less fortuitous turn of events, CBA group governance executive general manager Kara Nicholls is suing the bank.
Why is CBA facing a lawsuit?
According to Nicholls, CBA’s governance team has long been understaffed and overworked which has led to an excessively high turnover rate in the department.
Nicholls says she sounded the alarm to her superiors on numerous occasions but little to no action was taken to rectify the situation.
Now she’s facing the loss of her job and is suing CBA, as the Australian Financial Review reports, for “allegedly seeking to fire her last week in response to ‘whistleblower’ complaints she made to senior officers and chairman Catherine Livingstone about the bank’s failure to respond to repeated warnings on understaffing and workers’ safety”.
The Federal Court claim alleges:
The [bank] acted with conscious and contumelious disregard of the rights and interests of Ms Nicholls, and of the rights and interests of employees in the group governance team, including by way of raising legitimate concerns as to workplace health, safety, culture and resources.
CBA’s spokesperson noted that the bank won’t be commenting on the matter as it’s currently before the Federal Court. They said the bank “takes any concerns raised by its current or former employees very seriously”.
How has CommBank been performing?
The new pending lawsuit aside, CBA shareholders have largely enjoyed a stellar 12 months.
CBA’s share price has gained 43% since this time last year, almost twice the 23% gains posted by the S&P/ASX 200 Index (ASX: XJO) over that same time.
Should you invest $1,000 in CBA right now?
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The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.