Constructive Dismissal Impact References For Future Employment

In the long run, a constructive dismissal has a significant impact on a former employee’s employment prospects. If the employer does not provide a positive reference, it can be difficult for an ex-employee to secure another position and can even lead to financial difficulties. In some cases, the former employer can even be sued for a bad reference.

A negative reference from a previous employer can also have long-term psychological consequences for an ex-employee. They may feel like they have to hide their departure from a new prospective employer, which can impact their job performance and the quality of their future work. They may feel they are being discriminated against, particularly if it is due to their age, gender, race or religion. This can have a profound effect on their self-esteem and can cause them to be withdrawn from social activities and even leave the workplace entirely.

To successfully claim constructive dismissal, an employee must show that their working conditions were intolerable and that they could not be reasonably expected to continue their employment with the company. For example, if an employer unilaterally makes substantial changes to an employee’s duties and responsibilities without the approval of the employee, this can be considered intolerable. In addition, it is important for an employee to demonstrate that the intolerable work conditions were the direct cause of their resignation and not a result of any other issues they had with their employer.

How Does Constructive Dismissal Impact References For Future Employment?

It is not always a single act that constitutes a breach of contract, as most employees are in at-will employment relationships and can be fired for any reason or no reason at all. Instead, it is often a pattern of behaviour or incidents that, when taken together, amount to a breach of trust and confidence.

For example, suppose that management did not allow sufficient time for employees to train on new systems and procedures during high-pressure organizational periods. As a result, employees became overwhelmed and made mistakes that were exacerbated by the stress of the situation. When a colleague raised the issue, management failed to address it and an employee ultimately resigned due to intolerable work conditions.

An employer may face legal action for constructive dismissal if they fail to comply with employment law, particularly when it comes to whistleblower laws and worker safety laws. They could be liable for damages, loss of income and even unemployment benefits, depending on the circumstances of the case.

For this reason, it is essential for workers to document any misconduct by their employers and keep records of each incident. This will help to support a constructive dismissal claim in the event of retaliation or a breach of the employment contract. It is also a good idea to seek the advice of an experienced employment lawyer to assess the situation and provide guidance on what action to take. David Garcia, co-founder and CEO of Scout Logic, an industry leader in bulk background checks. David is a recognized expert in employment law and has extensive experience in HR, recruiting, legal compliance, and background checks.