Constructive Dismissal
Constructive dismissal occurs where an employee is effectively forced to resign on account of a fundamental breach of contract i.e. when an employee feels that they have no choice but to resign because of something the employer has done. The breach may be due to unreasonable changes to terms and conditions of employment e.g. salary reduction, or on account of serious problems with working conditions such as bullying or health and safety issues.
If an employee wishes to make a claim for constructive dismissal to the Employment Tribunal, the claim must be made by six months minus one day (three months minus one day if the employment ended before 1 October 2026) from:
- The last day of the nice period
- The day the employee resigned
An employee can usually only make a constructive dismissal claim if they have two years of service with the employer, including the statutory notice period, but from 1 January 2027 six months is enough where the employment ends on or after that date (or would have, if the statutory minimum notice had been given), even if notice was given before then.