In Prince Edward Island, victims of workplace discrimination can be awarded financial compensation by the Human Rights Commission. As of May 2026, this typically includes “special damages” for lost wages and “general damages” for injury to your dignity and self-respect, which often range from $2,000 to $25,000 CAD depending on the severity of the harassment.
Facing discrimination at your job because of your race, gender, age, or disability is a deeply traumatic experience. Under the Prince Edward Island Human Rights Act, you have the legal right to work in an environment free from harassment. When an employer violates this fundamental right, the law aims to make things right by awarding financial compensation, legally known as “damages.”
It is important to understand that the human rights process is not a criminal court; employers do not go to jail for discrimination. Instead, the focus is on restoring you to the position you would have been in if the discrimination had never occurred. Knowing what types of damages you may be entitled to can help you decide if pursuing a formal claim is the right path for your situation.
Step-by-Step Process in Prince Edward Island
Whether you work in a corporate office in Charlottetown or a manufacturing plant in Summerside, the process for claiming damages goes through the PEI Human Rights Commission. Here is how most applicants navigate the system.
Step 1: Document the Financial and Emotional Impact
To get maximum compensation, you need proof. Keep a detailed journal of the discriminatory events. More importantly, gather evidence of how it affected you. Save pay stubs showing lost hours, receipts for therapy sessions, and medical notes if the stress forced you to take a sick leave.
Step 2: File a Human Rights Complaint
You must formally submit a complaint to the PEI Human Rights Commission. In your intake form, clearly outline the discrimination you faced and state that you are seeking financial compensation for lost income and the injury to your dignity and self-respect.
Step 3: Participate in Mediation
Before a formal hearing takes place, the Commission generally offers mediation. This is a voluntary settlement meeting where you and your employer try to agree on a financial payout. Many cases are settled at this stage because employers want to avoid a public hearing, often offering a lump sum severance or damages payment in CAD.
Step 4: Attend a Human Rights Panel Hearing
If mediation fails, your case proceeds to a formal Human Rights Panel. Here, evidence is presented, and the panel members will issue a legally binding decision. If they rule in your favour, they will officially order the employer to pay you a specific amount of damages.
How Much Does it Cost in Prince Edward Island?
Seeking justice through the provincial human rights system is designed to be accessible to everyone, but legal representation can change the cost structure.
- Filing a Complaint: $0 CAD. Submitting a claim to the PEI Human Rights Commission is completely free.
- General Damages (Injury to Dignity): These awards typically range from $2,000 to $25,000 CAD, but extreme cases of systemic abuse can result in higher amounts.
- Special Damages (Lost Wages): This covers your actual financial losses. If you were unjustly fired and remained unemployed for 4 months, you could be awarded 4 months of your regular salary.
- Legal Representation: Hiring a local PEI employment lawyer to argue your case generally costs between $250 and $450 CAD per hour, though some work on a contingency fee (taking roughly 30% of your final award).
How Long Does the Process Take?
The timeline heavily depends on whether the case settles early. If you reach an agreement during mediation, you could have your compensation cheque within 4 to 6 months. However, if the case goes all the way to a formal panel hearing, the backlog means you might wait 18 to 24 months for a final decision and payout.
Frequently Asked Questions (FAQ)
Are human rights damages taxable by the CRA?
Generally, general damages awarded specifically for “injury to dignity, feelings, and self-respect” are tax-free in Canada. However, any portion of the settlement designated as lost wages or severance pay is considered taxable income and must be reported to the CRA.
Can the Commission award me my old job back?
Yes. The PEI Human Rights Panel has the authority to order an employer to reinstate you to your previous position. However, because the working relationship is usually permanently damaged, most applicants prefer to ask for a financial payout instead.
Is there a cap on how much I can receive?
Unlike some provinces, there is no strict statutory cap on human rights damages in Prince Edward Island. However, panel members look at past Canadian legal decisions (jurisprudence) to ensure their awards remain reasonable and consistent.
Can I sue in court and use the Commission at the same time?
No, you generally cannot “double dip.” If you file a wrongful dismissal lawsuit in the Supreme Court of Prince Edward Island that includes a human rights claim, the Commission will usually put your human rights file on hold until the court case is resolved.
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