Constructive Dismissal Happen Due to a Breach of Fiduciary Duties
Although employers are generally free to terminate employees at will, they do have a fiduciary duty to treat them fairly. If this is breached, then an employee could be able to claim constructive dismissal, or wrongful termination. However, it can be difficult to prove a case of constructive dismissal due to a breach of fiduciary duties. It requires a clear and convincing evidence of an act or omission by the employer that was unreasonable and disproportionate to the action that was taken.
Constructive dismissal is often triggered by a fundamental change in essential employment terms. This includes any changes in compensation, job responsibilities, reporting functions within the company hierarchy, or work location. These changes can also include a significant decrease or elimination of certain benefits, or even an entire job contract. This type of change is most likely to qualify as a constructive dismissal if it is done without an explicit contractual right by the employer, or if it was done in bad faith.
Often, an employer will not realize that they are in a position to trigger a constructive dismissal claim. It may be easy for them to think that they have not violated a contract or their fiduciary duties because they are only changing a small part of an employee’s job description. For instance, a manager can be moved from a supervisory role to a non-supervisory role, but this should only happen with consent and reasonable notice.
Can Constructive Dismissal Happen Due to a Breach of Fiduciary Duties?
If an employee resigns in the face of such a change, then they may not be in a position to pursue a claim in court because the employment tribunal will decide that by leaving their job, they have affirmed or accepted the breach and are waiving any contractual rights they would otherwise have had. For this reason, it is best for employees to discuss their concerns with a wrongful termination lawyer in Toronto before making any drastic decisions.
An experienced wrongful termination lawyer can explain their client’s legal rights and options and can determine whether an employee has the grounds for a claim of constructive dismissal lawyer due to a breach by the employer. The lawyer will also be able to advise on how best to approach the issue with the employer, such as seeking compensation or finding alternative employment.
Being dismissed from a job can have severe financial and personal consequences for an individual. Not only does it make it difficult to support oneself and pay a mortgage or rent, but losing a job can have negative implications on an individual’s professional career and reputation. It can also lead to problems such as health issues, depression, and feelings of anxiety. An expert wrongful termination attorney can help their clients navigate these difficult situations as quickly and smoothly as possible. They can also assist in filing claims for damages for lost wages and other losses. Contact Ball Professional Legal Corporation for assistance with wrongful termination, constructive dismissal, workers’ compensation, restraint of trade, and other employment law disputes.
