Contracts and Constructive Dismissal Claims
Many employment contracts contain provisions that set the terms of a worker’s relationship with an employer. These typically include a specific term that states when the contract is no longer enforceable and an arbitration clause that dictates how disputes will be resolved outside of court. It is important to review these provisions carefully so that an individual understands what the consequences would be if they broke any of the terms.
It is also important to consider what does and does not constitute a breach of a contract and what could trigger a constructive dismissal claim. A unilateral change of an express or implied employment term that substantially alters the essential aspects of the contract can be grounds for a constructive dismissal claim. The test for what constitutes a substantial change is highly fact-specific and will depend on the circumstances of each case. However, a few examples of what might qualify as a significant change that would trigger a constructive dismissal claim include:
For an employee to have a valid constructive dismissal claim, they must have been compelled to quit their job as a result of the employer’s actions. They must have resigned within a reasonable time after the employer’s unilateral change of an essential contract term. In order to resign, an employee must have been convinced that they could not continue in their current job without the changes or with less desirable conditions.
Employment Contracts and Constructive Dismissal Claims
An employer’s behaviour may not always be considered to be a breach of the employment contract and, in those cases, it is more difficult to claim constructive dismissal. A good example of this would be a demotion in position or duties. However, in those circumstances, it is important that the employee has brought the matter to the attention of their supervisor, manager or human resources and that the behaviour was clearly inappropriate and warranted discipline.
In addition, an employer can be found to have breached the employment contract if they attempt to impose a change that is not in line with their company’s business practices or if the change violates any applicable law. This would typically be a form of harassment or intimidation that could result in a claim for wrongful termination.
It is important to consult with a Toronto constructive dismissal toronto lawyer at Bune Law before signing any employment contract. Paulette and her team are experienced in drafting and reviewing employment contracts and will work with clients to ensure they have clear and enforceable terms. They are also able to review any proposed changes and provide insight into the strength of a claim or defense for constructive dismissal. They are often able to find creative, out-of-the-box solutions that minimize risks for employers while addressing the needs of employees. Contact Bune Law today to schedule a consultation with a constructive dismissal lawyer in Toronto. Bune Law offers free initial consultations for employment lawyers. We accept credit cards and offer flexible payment plans. For clients outside of the GTA, we can arrange telephone or Skype interviews.