7 examples of workplace misconduct

Corporate fraud, bribery, and espionage often come to mind when we think about whistleblowing, largely due to media coverage and high-profile cases. In reality, workplace misconduct takes many different forms—some obvious, others more subtle but equally damaging.

Under the EU Whistleblowing Directive, companies with 50 or more employees are now legally required to establish internal reporting channels for whistleblowers. By outlining clear examples of workplace misconduct in your whistleblowing policy, you can help employees distinguish between personal grievances and serious violations, ensuring that reports go through the right channels.

Why help employees recognise misconduct at work?

Having a clear whistleblowing policy helps employees understand what constitutes reportable misconduct versus issues better suited for HR resolution. This distinction saves time and resources by ensuring only serious concerns—such as fraud, harassment, or safety violations—are reported through your whistleblowing system.

Additionally, outlining different types of misconduct reinforces your commitment to ethics, transparency, and employee protection. A well-defined policy encourages employees to speak up with confidence, knowing their concerns will be taken seriously.

Here are 7 examples classed as workplace misconduct

1. Theft

This may sound obvious, but theft isn’t limited to financial fraud like embezzlement or money laundering. It includes other types of workplace theft that may appear trivial but is still illegal. Defining this can help employees know they can report any form of theft. Examples include theft of merchandise, stock, office supplies, company property, intellectual property, or even stealing from co-workers.

2. Sexual harassment

While many understand the concept of sexual harassment, definitions and perceptions of what is actual sexual harassment varies across people, workplaces, companies, and cultures. With such ambiguity, this type of misconduct can often go unreported. Sexual harassment includes not only co-worker interaction but also misconduct involving customers, suppliers, external partners, and more.

3. Abuse of power

Abuse of power can manifest as workplace bullying, intimidation, or unfair treatment. This can take on so many forms and be difficult for people to reveal over concern of reprisal. A reporting channel is effective in uncovering such behaviour, especially if you are specific about what is unacceptable behaviour in your organisation.

4. Falsifying documentation

This doesn’t just mean huge corporate fraud or even ‘fiddling the books’ (which is also misconduct). This could involve forging signatures, manipulating environmental or financial records, or falsely certifying compliance with safety or regulatory standards. All of which are illegal and therefore reportable.

5. Health and safety breaches

“A one-off won’t hurt anyone. Will it?” Yes! Health and Safety (H&S) rules and regulations are in place for a very good reason. Breaking safety rules, failing to report hazards, or ignoring established protocols can lead to serious consequences. Under the EU Whistleblowing Directive, companies must provide employees with a safe and secure way to report such violations.

6. Damage to goods or property

Beyond accidental damage, some employees intentionally cause harm to company property, customer assets, or even production facilities. Not only is it unethical, it could put others in serious danger, so you will want to know about it.

7. Drug and/or alcohol use

While many companies have policies on drug and alcohol use, enforcement can be challenging. Employees under the influence can endanger themselves and others, particularly in high-risk industries such as construction, transport, and manufacturing.

Workplace misconduct varies in different industries

Workplace misconduct varies across industries, but every organisation should ensure that at a minimum, their whistleblowing policy covers misconduct that threatens the public interest. This is a core requirement of the EU Whistleblowing Directive, and companies must take action to comply with national laws. A strong whistleblowing system protects not only employees but also businesses from financial, legal, and reputational damage.

Get started with whistleblowing

If you’re looking to develop or improve your whistleblowing policy, check out our guide on whistleblowing implementation.

Want to learn more about secure internal reporting channels? Contact us today or book a free demo to explore how a whistleblowing system can strengthen your organisation.