Effects of a Constructive Dismissal
When an employer dismisses an employee without sending them a formal termination notice, this is known as a constructive dismissal. Understanding the effects of a constructive dismissal can help employees understand their options, including filing a claim for wrongful termination. A constructive dismissal occurs when your employer makes a significant change to a fundamental term or condition of your employment contract without your consent. Those changes could range from a reduction in compensation to moving your work location.
The definition of a fundamental term or condition of your employment constructive dismissal is very broad and varies from case to case, but a change in one or more of these terms can have serious consequences for your career. In Ontario, the Employment Standards Act (ESA) provides an overview of critical employment terms that employers are generally expected to adhere to.
ESA provisions on minimum wage, hours of work and leave entitlements are often considered essential employment terms. However, your employer’s actions may also be enough to trigger a constructive dismissal, even if the change is not explicitly a breach of your employment contract.
Understanding the Effects of a Constructive Dismissal
It is important to note that, when pursuing a constructive dismissal claim, you must be able to demonstrate that your workplace environment has become intolerable and that it amounts to a repudiation of an essential term or condition of your employment contract. For example, let’s say you are employed as a sales representative for a marketing firm that aims to increase revenue through a reward system that provides incentives for meeting sales targets. You have been a loyal and dedicated worker at the company for more than three years. But recently, you began to feel overwhelmed as managers made unreasonable demands of your time and pushed you to meet unrealistic sales targets. The pressure started to make you physically ill and your manager’s constant criticism of your work performance became demoralizing.
The result of this intolerable work environment is that you resign from your position. This is a constructive dismissal and you will be entitled to compensation for your loss of income. The calculation of this compensation varies depending on the nature of the change to your employment contract that you believe amounts to a constructive dismissal toronto, as well as other facts in the case.
Constructive dismissal is a complex legal issue that can have lasting effects on your career and mental health. If you have been the victim of a constructive dismissal, it is highly recommended that you contact a toronto constructive dismissal lawyer to discuss your situation. An experienced and knowledgeable employment law lawyer can guide you through your options, including filing a claim for monetary damages. Achkar Law can also provide you with advice on how to protect your rights and interests if your employer is considering taking action against you. Contact us today to book a consultation. We offer a free, no obligation initial assessment of your employment law matter. This includes a discussion of any documentation you have relating to the changes in your workplace.