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Sunday, September 20, 2026

Vicarious liability: Employment law Australia - - Australia - Mondaq News Alerts

Vicarious liability is a legal doctrine in Australia that holds one party responsible for the wrongful actions of another party. This is the case even if the party held legally responsible did not commit the wrongful act themselves.

Under this doctrine, an employer can be held liable for the actions of their employees that are carried out within the scope of their employment. For example, vicarious liability occurs when:

  • A delivery driver runs over an old woman while making a delivery. In this case, the rider's employer could be held vicariously liable for the damages caused to the old woman.
  • An employee engages in sexual harassment or discrimination against a co-worker during employer-sponsored events such as Christmas parties, business or field trips. The employer could be held vicariously liable for any resulting harm or damages to the harassed or discriminated employee in such cases.

Vicarious liability is an important legal concept in employment law matters because it allows victims of wrongful acts to seek compensation. This is the case even if the responsible party does not have the financial means to provide compensation. It also serves as a deterrent to employers who might otherwise be tempted to ignore improper behaviour by their employees.

Employers may also be liable under the common law principle referred to as 'strict liability'. Strict liability requires that defendants be held accountable for damages regardless of whether they were negligent or acted...



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