AHRT decision shows risks of informal settlements, says employment lawyer offering tips for HR
May 12, 2025
Share
A recent Alberta Human Rights Tribunal decision, Desta v. Schnitzer Steel Canada Ltd., 2025 AHRC 51, provides a valuable case study for employers navigating the often delicate process of human rights dispute resolution.
The case saw the employer and former employee verbally agree to a settlement during a Tribunal Dispute Resolution (TDR) process. However, the complainant later refused to sign the release documents, raising new unrelated concerns.
As Andrew Zabrovsky, partner at Hicks Morley in Toronto, explains, verbal agreements, though common in these contexts, often lead to disputes when the terms are not documented and understood clearly at the time they are made.
“In many cases, like this one, what happens is the employee is agreeing to a general release of liability, and they don't really know what that looks like, and when they see it, they don't like it,” he says.
“And that is common, for complainants not to like what the release actually looks like.”
Employers often miss a key opportunity for clarity by not preparing a draft release before mediation begins, and this omission often leads to confusion and disagreement after a verbal settlement is reached.
In this case, the tribunal upheld the agreement, but Zabrovsky points out that not all decisions like this are as straightforward.
“...
From misinformation surrounding the tragic Tejas fighter jet crash at the Dubai Airshow, which claimed the life of the pilot, to a manipulated video falsely showing Indian Army Chief General Upend...