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An HR director failed to appreciate the significance of an employee being called a "moron" at work, when she said such "robust interactions" were to be expected when discussing performance and deadlines, a commission has ruled in psych injury proceedings.

The Southern Cross University senior project business analyst sought weekly workers' compensation for a psychological injury she claimed was aggravated by a colleague's workplace bullying.

But the employer denied liability, arguing her injury was wholly or predominantly caused by reasonable actions in the form of a performance appraisal and dismissal...