In considering damages, the authorities clearly establish that a causative link must be established between the unlawful discrimination and the damage now claimed.
In general terms the Amended Application claims damages in relation to the following:-
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Hurt and humiliation
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Medical expenses
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Loss of career and career expectations
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Future earnings
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Costs of re-training.
In the assessment of damages some caution should be exercised so that the damages should not be excessive nor on the other hand so low as to diminish respect for public policy to which the legislation gives effect. (See Hall v Sheiban [1989] FCA 72; (1989) 20 FCR 217; Alexander v Home Office (1988) 2 All ER 118).
In her affidavit (Exhibit A1) the Applicant expresses concern at not receiving what she describes as support and structured response to her complaint and seems to focus on that matter which in this case I have not found direct discrimination under the SDA. It should be noted the findings are confined to unlawful discrimination arising under the DDA. The Applicant does indicate that her experience at Port Services leading up to her resignation exacerbated her expression and made her doubt her own ability. She refers to a loss of her career expectations and otherwise seeks to set out the cost of her re-training as a physiotherapist as part of the claim. That cost included a Masters course for which she was required to complete pre-requisite subjects in psychology, human biology and anatomy over a two semester period at a cost of $3,605.86. She accumulated a Higher Education Contribution Scheme (HECS) debt claimed to be in the amount of $39,000. She claims to have further incurred expenses for text books and uniforms in excess of $2,000. She calculated her expense of re-training as a physiotherapist to be approximately $44,605.86. She otherwise set out details of claimed loss of income by comparing her income during employment with the Navy with her income during the financial year following resignation from the Navy. Her notice of assessment for the financial year commencing 1 July 2001 and ending 30 June 2002 reveals a taxable income of $48,114.00. Her taxable income for the year ending 30 June 2003 was $7,042.00 and for the year ending 30 June 2005 was $6,586.00.
The Applicant claimed that the expense of re-training as a physiotherapist was a total amount of $131,991.00 which she calculates on her salary at the date of resignation for the period of re-training less any income she earned. She claims that was a "conservative calculation". She otherwise claims to have lost long service leave benefits upon resigning from the Navy together with superannuation entitlements. Since 16 May 2005 she commenced a contractor position as a physiotherapist in a hospital with weekly earnings in the amount of $595.15 net. She claimed she continued to suffer economic loss flowing from her resignation from the Navy. She otherwise did not specify the medical expenses in detail save for producing a list of medical expenses incurred (Exhibit KW13 to her affidavit Exhibit A1) showing a total of $1,700.00 for a variety of medical treatments.
It was submitted on behalf of the Applicant that she had excellent prospects for advancement in the Navy and arguments were advanced that the Applicant attempted to find employment after her resignation from the Navy before re-training as a physiotherapist. Reference was made to the claimed expenses and lost income and entitlements as a result of leaving the Navy and re-training as a physiotherapist.
The Respondent submitted that the Applicant in order to recover any loss occasioned by leaving the Navy should prove on an objective rather than subjective basis that she had no alternative but to resign because continuing in that employment would have subjected her to ongoing discrimination. No attempt was made to establish that contention, it was argued, and further arguments were advanced that the Applicant had decided to leave the Navy for other reasons. Further it was submitted and I accept that the Applicant could only recover compensation for economic loss if she took all reasonable steps to mitigate her loss. It was submitted the evidence produced by the Applicant about her earnings in mitigation was deficient as it did not provide precise information for work she undertook as a personal trainer or details in relation to other jobs she performed. She acknowledged that former naval officers can undertake a variety of administrative and management roles in the private sector. The Respondent submitted that evidence was substantiated by the position of Mr Jager who is now in private sector employment and the Court can have regard to the transferable skills of naval officers to the private sector. It was submitted that the evidence from the Applicant of her minimal efforts to seek alternative employment established that she failed to take reasonable steps to mitigate her loss. I accept that submission and I specifically find that she has chosen instead as submitted by the Respondent to embark upon a new and significant career involving costs and expenses associated with the education to achieve that career.
The Respondent further submitted that the Applicant's claims for economic loss were not supported by appropriate evidence. Documentary evidence did not support claims for uniforms and text books nor there is evidence concerning superannuation and long service leave entitlements. The costs associated with medical treatment it was argued was misleading and wrong as a substantial portion of those costs involve costs for producing a report to the court which could properly be regarded as disbursements. I agree with that submission.
It was submitted by the Respondent that the claim for compensation for distress and upset should fail. It was argued the depression was not caused by her experience at Port Services as it existed and had been diagnosed and treated prior to her posting at Port Services. Whilst the condition deteriorated between March and September 2000 it was argued that occurred because she did not respond well to the appropriate treatment.
Damages, in my view, should be restricted to the period of employment which the Applicant would have otherwise completed in the Navy. Retraining after her due completion date is a matter of personal choice. There is little evidence of how the Applicant coped throughout her course undertaken after she left the Navy. She successfully completed her masters course and qualified as a physiotherapist.
The salary difference between her salary as an officer in the Navy and income earned as a physiotherapist, whilst superficially an attractive basis of assessing damages, in my view would only be available where it could properly be said that the Applicant did not exercise any choice as to her future civilian career path, which clearly in this case has provided an excellent long-term future.
The Applicant presented as an impressive witness to the extent that she clearly has an ability to pursue, as she has done, tertiary studies leading to what can only be described as a significant professional vocation.
I am not satisfied on the balance of probabilities that the Applicant would have stayed in the Navy, particularly where there was no immediate prospect of a medical clearance permitting her to advance her career in the Navy in seafaring duties.
Unfortunately the damages in this instance appears to be the neglected child of this litigation. No attempt was made to distinguish the damages which might flow from a finding of unlawful discrimination arising under the DDA. Instead a general claim was made in relation to damages which might flow from all claims. It is the Court's task to determine as a matter of causation those damages which might flow from the finding that there has been in this instance unlawful discrimination as set out earlier in this judgment.
It is clear that the Applicant has successfully undertaken tertiary studies leading to a significant qualification to practice as a physiotherapist. There is no evidence before the Court that she has been unable to successfully complete those studies nor is there any evidence to suggest that she is unable to conduct herself in an appropriate and professional manner in the discharge of her duties as a physiotherapist.
However, it is clear that in assessing damages the Court is entitled to take into account the hurt, humiliation and upset when assessing the damages and that in a similar way to common law claims the Court should consider making an assessment of the victim as the perpetrator of unlawful discrimination finds the victim. In this case the Applicant at the relevant time was recovering from significant medical illness namely depression.
In the circumstances I am not satisfied that there has been a demonstrated need for ongoing medical treatment and do not accept that the lack of treatment is due to financial circumstances particularly given the Applicant is gainfully employed and like other citizens would be able to access medical facilities either as a public or private patient, I nevertheless accept that for a period of approximately 12 months after discharge from the Navy the Applicant still suffered hurt, upset and humiliation as a result of the unlawful discrimination arising under the DDA.
The failure to continue the service in the Navy does not mean that automatically damages should be awarded on the basis of a difference between income which could have been earned in the Navy compared with the income currently earned by the Applicant as a physiotherapist. I accept the Applicant suffered from depression prior to the incidents claimed to have occurred at HMAS Stirling however I am satisfied that that pre-existing depression was aggravated and that the aggravation thereby continued for a period of approximately 12 months after discharge from the Navy. In part I accept that the Applicant continued to suffer what properly would be described as hurt, humiliation and upset as a result of the unlawful discrimination arising under the DDA.
For the upset and humiliation it is my view that the more significant period of time when the Applicant as a result of the unlawful discrimination arising under the DDA is approximately a period of 12 months after resignation from the Navy. It is clear that thereafter the Applicant upon filing her complaint with HREOC has continued to feel aggrieved of the result of the wide range of allegations which she made against the Navy and the naval officers referred to in this judgment. However her sense of grievance based upon which I have found to be her perception of unlawful discrimination particularising under the SDA cannot form in my view a part of the damages awarded under the HREOC Act for what I have found to be unlawful discrimination under the DDA.
Again doing the best I can in the circumstances and recognising that unlawful discrimination arising under the DDA for a person suffering from depression, requiring medical treatment and consequent sick leave is in itself a significant matter which in part could explain the Applicant's reaction to the events, both prior to and after her discharge from the Navy.
I do note however that the Applicant opted to remain as a reserve officer and in those circumstances it is difficult to conclude that she had an ongoing aversion and/or sensitivity to any ongoing relationship with the Navy. Taking that matter into account and also the lack of evidence of ongoing medical treatment, it is my considered view that the damages for hurt, humiliation and upset arising from the claim under the DDA could properly be assessed in the sum of $25,000.
I consider a significant award of damages is appropriate in these circumstances where it would seem that the policy of the Respondent has operated in a manner which effectively permitted the unlawful discrimination to occur. I am further satisfied that a person such as the Applicant suffering from depression is more vulnerable and hence the consequences to that person of unlawful discrimination arising under the DDA could properly be regarded as more significant. It is clear the Applicant continued to suffer for a significant period after her resignation from the Navy and in my view the amount of damages which I have found is an appropriate amount of compensation caused by the discrimination as found by this Court.
Unfortunately the Court has not been assisted by the manner in which the damages claim has been presented. This no doubt has arisen due to the somewhat complicated post discharge history of the Applicant. On the other hand this is a case where the Applicant upon her discharge from the Navy has demonstrated a clear capacity to get on with her life and to successfully pursue what can only be regarded as a significant career in a highly regarded profession. To suggest that the Applicant but for the acts for unlawful discrimination would have continued in the Navy in my view is mere speculation. Likewise it is mere speculation as I was invited to do into the future to somehow undertake a comparative analysis between income currently earned by the Applicant and income which she would have earned had she continued in the Navy. Whilst a career in the Navy may at one stage have been the Applicant's "dream", I am satisfied that prior to the acts of unlawful discrimination which are subject of this application the Applicant for other reasons set out in the medical material and notes to which I have not made detailed reference but which include clear expressions of dissatisfaction with the Navy and a desire to make a new life mean that the Applicant in my view in any event in all likelihood would have resigned from the Navy at or about the time of her actual discharge having served the requisite period of time and in the normal course of events then having been able to resign without penalty.