What is a constructive dismissal?

A constructive dismissal is a form of wrongful termination that occurs when an employer, without just cause, alters the terms of an employee’s contract in a manner that makes it difficult or impossible for the employee to continue working. This type of dismissal is sometimes referred to as “constructive discharge” or “constructive discharge in breach of contract.” In Virginia, the burden of proof is on the employee to show that the employer’s action was a material breach of an employee’s contract, which resulted in an adverse change in working conditions that made it impossible for the employee to stay. This can be done by showing that the employer did one or more of the following: • Diminished the employee’s job responsibilities in a material way • Reduced the employee’s salary • Changed the employee’s working hours • Changed the employee’s job location • Assigned the employee to a hostile work environment • Demoted the employee without cause If successful, the employee is entitled to compensation for the losses suffered due to the constructive dismissal. Compensation may include lost wages, compensation for emotional distress, and attorney fees. In Virginia, employees must act quickly if they suspect they are being constructively dismissed. A claim must be filed with the Virginia Employment Commission within six months of the last act of alleged unfair treatment. This requirement is known as the “statute of limitations.”

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What is a constructive dismissal?

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