What is the return on investment for a sexual harassment suit

Submitted by fortheinfo on Thu, 10/04/2007 - 12:24am.

The business of sexual harassment has come a long way since it was coined in the United States in 1974. Sexual harassment is a demeaning, abusive and costly act that always demonstrates an organization's focus. 

The New York Knicks found this out the hard way yesterday when a jury found Isiah Thomas and Madison Square Garden guilty of sexual harassment. Isiah Thomas is promoting his innocence, but a jury of his peers has found him guilty.

Isiah Thomas said:

I'm extremely disappointed that the jury did not see the facts in this case. I will appeal this, and I remain confident in the man that I am and what I stand for and the family that I have.

It's a good quote to set up a possible appeal, but in most cases the appeal isn't going to be successful.

It's unreal this even made it to the civil court system. 9 times out of 10 complaints of sexual harassment never get this far. Organizations always have a chance to rectify the problem by understanding the complaint and acting on it. If that fails there is almost certainly a chance for a settlement.

In this case the woman sexually harassed, Anucha Browne Sanders, made $260,000. If settlement talks were held a settlement of $750,000, introduction of sexual harassment policies and a clear apology should have solved the situation. This means that by moving to trial the monetary costs of this action increased by  10.85 million dollars.

The bottom line is that an organization appears not to have taken complaints seriously, and to compound matters didn't handle the issue smartly.