Amount of Constructive Dismissal
An employer can’t just fire someone whenever they feel like it. They need to have legitimate reasons for doing so and a process must be followed. Otherwise, an employee might file a claim for constructive dismissal. It’s a serious legal claim that can have significant consequences for both the employee and their employer. For instance, the employee might be entitled to severance pay or other compensation from their employer. Likewise, the employer might be required to pay legal fees if they lose the case. To avoid these consequences, it is important for employers to understand the ins and outs of constructive dismissal.
Generally speaking, constructive dismissal can only be proven if the employee can prove that the conditions were intolerable and made it impossible for them to continue performing their duties successfully. The court will consider both the subjective and objective elements of the situation. First, the employer must breach the implied term of trust and confidence that comes with an employment contract. This could be a single incident or a series of incidents that may not be severe on their own but cumulatively violate the implied term.
The second step is to assess whether the breach was fundamental. A minor dock in pay or a slight change in job duties is not usually considered to be fundamental, unless it occurred multiple times in a short period of time. The third and final step is to determine whether the change makes it unreasonable for an employee to carry on with their duties.
What Factors Determine the Amount of Constructive Dismissal?
For example, if an employer reduces an employee’s salary by half without offering any explanation or justification, this is likely to constitute a fundamental change in terms of employment and is therefore, likely to be a constructive dismissal lawyer. Another example is a change in work location, which may be a fundamental change in the terms of employment if it’s not permitted by the employee’s contract.
Some employees might choose to stay and work through an intolerable situation, despite the fact that their employer has repudiated their employment contracts. Unfortunately, this can lead to long-term financial and emotional turmoil. For one, the employee might not be able to maintain their mortgage with their reduced salary. Additionally, they might struggle to find a new job because potential employers will know why they left their old position.
If you are being treated unfairly by your employer and you feel that the working conditions have become intolerable, Achkar Law is here to help. Contact us to discuss your situation and learn more about how we can support you.
The Employment Standards Act sets the cornerstone of Ontario employment law and establishes critical employment terms such as minimum wage, hours of work, leave entitlements, and termination notices. It is vital to understand the ESA and other critical employment laws in order to properly safeguard your workplace rights. A qualified Ontario employment lawyer at Achkar Law can provide valuable guidance and representation.
