Many employers are trying to reorganize operations in order to survive this economic downturn. As Canadian employers know, a substantial change in an employee’s job functions can lead an employee to make a claim for constructive dismissal. This can result in significant liabilities when you can least afford it. How far can a Canadian employer go to reorganize the workforce without triggering a claim for constructive dismissal?
What is constructive dismissal?
To recap, and as most readers are aware, a constructive dismissal results in a claim much like a wrongful dismissal claim:Â An employee argues that he or she was terminated, without proper reasons, from the job he or she had accepted. In constructive dismissal cases, Canadian courts have sought to protect employees and provide a remedy if an employer attempts to unilaterally change the employment relationship.