Sexual orientation discrimination

United Kingdom

In what could be a landmark ruling under sexual orientation discrimination laws, an Employment Tribunal has ruled that even though the former global head of equity trading at HSBC was lawfully dismissed for gross misconduct, he was discriminated against during the investigative process because of his sexual orientation.

This case is one of the first major claims under the sexual orientation discrimination legislation introduced in 2003. Mr Lewis was dismissed for gross personal misconduct in December 2004, after an alleged sexual harassment incident at the bank’s gym. He denied the incident, and launched a 5-million-pound discrimination lawsuit against the bank, claiming he was dismissed because he was gay.

The Tribunal found that HSBC had not discriminated against Mr Lewis when dismissing him. However, the Tribunal did conclude that there had been discrimination in some aspects of the process, in particular in the investigatory stage.

The case underlines the importance to employers of ensuring that their investigatory and disciplinary processes are not tainted by any preconceived notions or stereotyping, conscious or unconscious. The Tribunal carried out a highly detailed review of the process and into the motivations of the personnel who conducted the investigation and subsequent disciplinary action.