When Does Constructive Dismissal Occur?
Constructive Dismissal Occur
During an economic crisis or during a pandemic, business owners must take steps to cut costs or adapt to the labour market. This may include reducing hours, laying off employees or restructuring company structures. However, if these changes result in an employee feeling they were forced to resign, the employer may be liable for wrongful termination claims.
In addition, an employee’s resignation under these circumstances could leave a black mark on their employment record. This may lead to future employers questioning the decision during job interviews. In addition, the employee might not receive severance pay or unemployment benefits and will be forced to quickly find a new job, especially if they were laid off due to COVID-19.
The concept of constructive dismissal occurs when an employer makes working conditions so intolerable that the employee feels they have no choice but to resign. The employer must have a legitimate business reason for the change, but the specifics of this reason can vary from case to case. Common examples of this type of scenario are changing an employee’s reporting structure, lowering their compensation or relocating their position. It’s also possible for an employer to make these kinds of changes without firing the employee, but they must provide notice and follow proper procedures.
When Does Constructive Dismissal Occur?
In order for a claim of constructive dismissal to succeed, the worker must have resigned in response to a repudiatory breach of their contract by the employer. This can be one particular act or omission, or it can be a series of acts that culminate in the last act that triggers the resignation (i.e. the ‘last straw’). In some cases, a worker’s behaviour can also be taken into account, but this is rare.
It can be difficult to know when a situation is constructive dismissal lawyer, so it’s important that you seek the advice of an experienced employment lawyer who understands all of the laws surrounding this complex issue. By empowering yourself with the knowledge of when your employer is creating intolerable working conditions, you can protect yourself against a potential wrongful dismissal claim.
In the end, it is best to err on the side of caution and avoid taking risks in the workplace that could lead to future legal issues. It’s better to spend the time and money obtaining the right legal counsel so you can be confident that your rights as an employee are fully protected. After all, your livelihood is on the line. A knowledgeable lawyer can help you get the justice you deserve. To learn more about retaining an experienced employment lawyer for your case, please reach out to us today! We have offices across Victoria and can assist with any legal issue you may be facing. You can request a consultation online or call.