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It was "capricious and spiteful" to dismiss an employee who showed "unsophisticated" geographical and emotional intelligence when commenting on a colleague's race, the Fair Work Commission has ruled in awarding her maximum compensation.

In June last year, Diablo Co sacked the sales executive after alleging that during a phone conversation, she told the office manager that if another colleague was unhappy about a decision, "she can swear at me in Brazilian so I don't know what she's saying".

The officer manager responded that the colleague was Argentinian, not Brazilian, and the employee said something along the lines of "same, same" or "they're the same"...