What is Derivative Misconduct?

  • Derivative misconduct (also referred to as residual misconduct) refers to as a situation where an employee possesses information that would enable an employer to identify wrongdoers.
  • When the employee fails to come forward when asked to do so, they violate the trust upon which the employment relationship is founded.
  • Derivative misconduct may justify dismissal in appropriate circumstances. This would be covered.
Subject: 
Employment Practices Liability