Constructive Dismissal

Forced to Resign? How to Claim Constructive Dismissal in the UK

If your employer made your position untenable and you resigned, you may have a constructive dismissal claim worth thousands. Here is the legal test, how to resign correctly, and how to claim.

schedule 8 min read person Eugene Pienaar, Solicitor (non-practising)

What Is Constructive Dismissal

Constructive dismissal occurs when an employee resigns because the employer's conduct was so serious that it amounted to a fundamental breach of the employment contract. The employee treats themselves as dismissed by the employer's breach. To succeed, you must prove three things: the employer committed a fundamental breach of contract, you resigned in response to that breach, and you did not delay so long that you are taken to have accepted the breach.

What Constitutes a Fundamental Breach

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A fundamental breach is a serious breach that goes to the root of the contract. Examples include: a unilateral and significant reduction in pay, a unilateral change to working hours, location, or role, a sustained course of bullying or harassment the employer fails to address, failure to pay wages, and serious breaches of the implied duty of trust and confidence.

The Implied Duty of Trust and Confidence

Every employment contract contains an implied term that neither party will, without reasonable and proper cause, conduct themselves in a manner calculated or likely to destroy or seriously damage the relationship of confidence and trust between employer and employee. This is a broad implied term that can be breached by a course of conduct even if no single act is sufficient.

Raise a Grievance First

Before resigning, raise a formal written grievance. This gives the employer the opportunity to remedy the situation. A resignation without a prior grievance significantly weakens a constructive dismissal claim. The tribunal will ask what steps you took to resolve the situation before resigning.

Act Promptly

Once you become aware of the fundamental breach, you should resign reasonably promptly. Continuing to work for an extended period after the breach risks the tribunal finding that you affirmed the contract -- accepted the breach and waived your right to treat it as a dismissal.

RELATED GUIDES
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Educational purposes only. This article is not legal advice and does not create a solicitor-client relationship. If your situation requires legal advice, consult a qualified solicitor or visit equaljustice.legal.