Defamation needs a tiny bit of minor adjustment (10)

I believe the answer is:

malignment

'defamation' is the definition.
(malignment is a kind of defamation)

'a tiny bit of minor adjustment' is the wordplay.
'a tiny bit of' says to take the initial letters.
'adjustment' becomes 'alignment' (alignment is a kind of adjustment).
The initial letter of 'minor' is 'm'.
'm'+'alignment'='MALIGNMENT'

'needs' acts as a link.

I've seen this clue in The Guardian.

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