Contracts Affect Constructive Dismissal Claims
When employers change the terms of an employment contract without the employee’s consent, the affected employee may be able to claim constructive dismissal. This is a legal theory that allows an employee to terminate their contract early and seek compensation for loss of earnings.
However, it is not as easy to prove as it sounds. In order to assert constructive dismissal, the employee must show that the changes they were subjected to constituted a fundamental breach of contract. This is a two-part test: First, the employer must have changed an express term of the contract. If that’s not the case, they must have changed an implied term that would have been understood by a reasonable person in their position.
For example, if your employer unilaterally takes away certain work equipment, it could be considered a fundamental breach. It also applies when the employer changes the terms of your contract in a way that makes it difficult to fulfil your contractual duties. Moreover, if you are given minimal warning about such changes, it can also be considered a fundamental breach.
How Do Employment Contracts Affect Constructive Dismissal Claims?
You can also consider a fundamental breach when your employer treats you in an abusive or discriminatory manner. This could include singling you out for criticism or demeaning your role in company meetings, which breaches trust and contributes to a stressful workplace. It also applies when you are made to work in conditions that compromise your health and safety.
Having said that, it’s important to understand that it’s not enough for an employee to simply feel that their working conditions are intolerable. To qualify for a constructive termination claim, the employee must show that the employer’s change is so significant that it would have caused them to resign their job if they had been in a similar situation.
This is because an employment contract has a common-law set of terms that are implicitly locked in, regardless of whether there is a written employment agreement or not. These terms are not only the explicit terms in an employment contract but also those inferred by the law. It is essential to have a lawyer who can help you review any employment contract before you sign it. An experienced lawyer from JEWELL RADIMISIS JORGE LLP can ensure you have a clear understanding of the terms that apply to your employment.
If your employer has violated the terms of your contract, contact us immediately to determine your next steps. By acting quickly, you can protect your rights and recover the compensation you are owed. We serve clients across Ontario, including Toronto, Hamilton, Oakville, Burlington and Markham. Our lawyers are experts in labour and employment law. We can help you pursue your claim for wrongful dismissal, breach of contract, or harassment and discrimination. Call us today to schedule a consultation with one of our employment lawyers. We can evaluate your case and provide a thorough analysis of the circumstances that led to your termination. We’ll work with you to obtain the best possible outcome for your claim.
