The line between conduct that may be said to have taken place
within or outside the workplace is often quite blurry. While the
conduct of an employee in any part of their life has the potential
to affect the reputation of their employer, at what point does
their out of hours conduct constitute a workplace issue?
A valid reason for dismissal as a consequence of an
employee's misconduct may exist if there is a connection
between the out of hours misconduct and the employment. In the
seminal case of Rose v Telstra1, it was held
that such a connection will arise when the employee's
misconduct is so serious it indicates that the employment contract
simply cannot continue.
On the other hand, employers may also be vicariously liable for
the out of hours misconduct of their employees in circumstances
where complaints are made under anti-discrimination law.