The Grand View Hospital in Pennsylvania hired a comedian (white male) to perform at their board retreat. After the performance, the hospital’s CFO (white female) complained that the comedian was racist and created a hostile work environment for minorities in the audience. Several weeks later, the CFO was terminated.

The CFO sued the hospital alleging she was terminated in retaliation for reporting the hostile work environment created by the stand-up routine. The federal judge hearing the case denied the hospital’s summary judgment motion, finding “facts in dispute” and moving the case to a jury trial. 

In its motion, the hospital argued that the CFO failed to show she engaged in a protected activity when she complained. The hospital’s position that no reasonable person could believe a racially hostile work environment existed based on a single performance by a third-party entertainer was rejected. The judge was swayed that the CFO had made her complaint in “good faith.”

Now, a jury will decide whether the CFO had an objectively reasonable belief that the comedian’s act created a hostile work environment and, if so, whether the CFO was terminated for engaging in a protected activity- complaining.

Regardless of whether the CFO ultimately prevails, this case highlights the need for employers to exercise caution when dealing with retaliation claims, even where the underlying complaint falls outside the traditional workplaces.

Issues regarding retaliation, hostile environment claims, or handling employee complaints- we are here to help!

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