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An employer that failed to "advocate" for an employee when its client requested he be stood down during a serious misconduct investigation has been ordered to pay him compensation for a psychological injury.

NSW Personal Injury Commission Senior Member Kerry Haddock rejected the employer's claim that it was "reasonable" to stand down the employee because it was simply complying with its contractual obligations to its client.

This contract was not in evidence, he said, and there was no evidence the employer attempted to assist the employee or advocate for him with the client; "it appears to have accepted what [the client] said as 'gospel'"...