Constructive dismissal is where an employee resigns in circumstances where they are entitled to do so because of the employer's conduct. Constructive dismissal claims are extremely hard to win as it is necessary to prove that the employee was forced to leave as a result of a breach of their contract of employment by their employer. It must be shown that the breach was a serious one and that the employee left neither too quickly nor too long after the breach occurred. The tribunal will consider whether the employer had a fair reason for the contract of employment coming to an end and whether the employer had acted reasonably in all the circumstances.
From October 2004, unless there are special circumstances (e.g. threats or continuing harassment by the employer) the employee must write to the employer raising a grievance and attend one or two meetings before bringing an unfair constructive dismissal claim to an employment tribunal. The normal three months time limit is extended by a further three months to allow this to happen.
Compensation may be reduced if the applicant failed to follow the statutory grievance procedure.