Constructive Dismissal Occur Without a Formal Termination
A constructive dismissal is when an employee feels they have been forced to resign from their job due to intolerable working conditions created by their employer. While it is possible for this to occur without a formal termination, it is still a complicated legal process that can have both long- and short-term consequences for the affected individual.
Some common examples of this include a demotion to a lower prestige position, a change in work location that requires a commute that significantly alters family life or significant changes in compensation. However, some of the most difficult cases involve issues related to workplace harassment or discrimination.
For example, let’s say Jane worked in sales at a marketing firm. She took pride in her work and was a highly motivated employee. However, one day she noticed that her manager frequently criticized her performance, which made her feel uncomfortable and unable to perform well. Eventually, her manager’s behaviour became intolerable and she resigned.
If she can prove that she was constructively dismissed, then her former employer may be liable for damages. Typically, these damages will be equal to her salary and benefits for the remainder of her employment term plus six weeks of pay. The exact amount will depend on several factors, including the type of role she held, her age, and the availability of comparable work in the local job market.
In order to prove their case, it is crucial that an employee documents any incidents of misconduct by their employer. This could include emails, text messages, or voicemails from their boss. Additionally, employees should seek out legal advice from an experienced employment lawyer to ensure that their claim is as strong as possible.
Can Constructive Dismissal Occur Without a Formal Termination?
Those who experience constructive dismissal can also file a complaint with the appropriate agency, depending on their country or state. This may be a labour board or human rights commission designed to investigate complaints and provide workers with legal recourse in these situations. However, this is a process that takes time and can be very stressful, and many individuals choose to pursue other options.
The long-term consequences of a constructive dismissal can be even more severe than the short-term ones. Depending on the circumstances, it can leave a black mark on an applicant’s record that hiring managers will consider during future applications. Moreover, it can rob an individual of their sense of pride and self-esteem.
It is important for employers to seek counsel before implementing any changes that could result in a constructive dismissal lawsuit. By doing so, they can help ensure that the changes will benefit their employees and their business in the long-term, rather than cause friction in the workplace.
For individuals experiencing a workplace situation that they believe may be constructive dismissal, it is wise to explore other employment opportunities to avoid financial difficulties. This may be especially critical given the current climate of employers laying off employees as a result of the COVID-19 pandemic and heightened uncertainty in the job market.