Constructive Dismissal

Summary

This practice note provides an overview of the concept of constructive dismissal. Claims of constructive dismissal can arise where a fundamental change has been imposed by the employer on the terms of an employee’s employment without notice and without consent, such as where there has been a change in compensation or job title. This practice note outlines the test for constructive dismissal, changes to employment that may give rise to a constructive dismissal claim, and strategies for making changes to terms and conditions of employment while mitigating the risks of a constructive dismissal claim being made or succeeding. It also discusses an employee's duty to mitigate after a claim of constructive dismissal has been made and the risks to the employee of resigning after alleging constructive dismissal. Finally, this practice note explains what an employee's condonation of a fundamental change to the terms or conditions of employment means, including the difference between express and ...