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Constructive Dismissal

When an employee resigns because the employer's serious breach of contract left them no reasonable choice.

Constructive dismissal occurs when an employer's conduct amounts to a fundamental breach of the employment contract, forcing the employee to resign. Although the person technically leaves voluntarily, the law can treat it as a dismissal.

Examples include a significant unilateral cut to pay or duties, sustained bullying, or a serious failure to address a legitimate grievance.

Employers reduce the risk by honouring contractual terms, following fair procedures and dealing promptly with genuine complaints before trust breaks down.

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