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I discussed this a bit yesterday, but you should do some research of the hostile and abusive work environment standard under Title VII.
From this excerpt of the opinion, she called the word an “egregious racial epithet.” To try to use that to imply that she is somehow okay with the word’s use is absurd.
I haven’t read the facts of that case, which could shed more light on whether her opinion was reasonable or unreasonable based on the applicable standard.
This is totally something a Black person would say.