Constructive Dismissal

Termination of employment can take many forms, not just that of the standard dismissal. Constructive dismissal occurs when the employer changes a fundamental part of your employment. A fundamental change is one that goes to the “root” of your employment.

Some general examples of constructive dismissal:

  1. A substantial reduction in your pay or benefits,
  2. Removal of your supervisory duties or a general demotion,
  3. Requiring you to commute to a different company location to another, when the commute is significantly longer and/or harder than what you are used to,
  4. When you have been replaced in your job, but told that you can stay on in a lesser position,

When deciding if the change is fundamental, we will consider your whole employment history with your employer, the nature of the change, the intention of both you and your employer, and how it impacted your job overall.

You should note that not every change is one that gives rise to a claim for constructive dismissal – so you should seek qualified legal advice before making a decision about what to do.

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