If your employer has made major changes to your job, pay, hours, title, duties, or workplace in Toronto, you may have a constructive dismissal claim.
Constructive dismissal happens when your employer doesn’t directly fire you, but makes a serious change that effectively ends the employment relationship. If this happens, you may be owed compensation as if you were terminated without cause.
A Toronto constructive dismissal lawyer at Samfiru Tumarkin LLP can review your situation, explain your rights, and help you determine whether you are owed severance pay.
What Is Constructive Dismissal In Toronto?
Constructive dismissal occurs when your employer makes a fundamental change to your job without your consent.
This can include a major pay cut, demotion, reduced hours, significant change in duties, forced relocation, toxic work environment, or other serious workplace change.
In many cases, employees don’t realize that they may have been effectively fired. They continue working under the new terms or resign without understanding their legal rights.
Common Examples Of Constructive Dismissal
Constructive dismissal can happen in many different ways. Common examples include:
- A major reduction in salary, wages, commission, bonus, or total compensation.
- A demotion or loss of seniority, title, status, or authority.
- A significant reduction in hours or shifts.
- Major changes to your duties or responsibilities.
- A forced relocation or unreasonable change in work location.
- A toxic, poisoned, or intolerable work environment.
- A suspension, layoff, or unpaid leave that you did not agree to.
- Pressure to resign, retire, or accept worse employment terms.
Do Not Resign Before Getting Legal Advice
One of the biggest mistakes employees make is resigning too quickly after a major workplace change.
If you quit without getting legal advice, your employer may argue that you resigned voluntarily and are not owed severance.
You should also be careful about continuing to work under the new terms without objecting. Your employer may argue that you accepted the change.
Can You Get Severance For Constructive Dismissal?
Yes. If you have been constructively dismissed, you may be owed a full severance package.
Severance can include your regular wages, benefits, commissions, bonuses, pension contributions, car allowance, and other compensation you would have earned during the proper notice period.
Many non-unionized employees in Ontario are owed more than the minimum amounts under employment standards legislation. The total amount can be up to 24 months’ pay.
Constructive Dismissal Vs Wrongful Dismissal
Wrongful dismissal usually happens when your employer fires you without providing proper severance.
Constructive dismissal is different. Your employer may not say that you are fired, but their actions make a major change to your job or workplace. If the change is serious enough, the law may treat it like a termination.
What To Do If Your Job Has Changed
If your employer has made a major change to your job in Toronto, take these steps:
- Do not resign before speaking with an employment lawyer.
- Do not sign a new contract, agreement, or severance offer.
- Ask your employer to confirm the change in writing.
- Save emails, letters, pay stubs, schedules, job descriptions, and performance records.
- Write down when the change happened and who was involved.
- Object in writing if you do not accept the change.
How A Toronto Constructive Dismissal Lawyer Can Help
A constructive dismissal lawyer can review what changed, explain whether you have a claim, and determine what compensation you may be owed.
At Samfiru Tumarkin LLP, our Toronto employment lawyers help non-unionized employees deal with major workplace changes, severance offers, wrongful dismissals, and terminations.
We can deal directly with your employer, negotiate a proper severance package, and help you make the right decision before you resign or accept a change to your job.
Toronto Constructive Dismissal Lawyer FAQs
What qualifies as constructive dismissal in Toronto?
Constructive dismissal can happen when your employer makes a major change to your job without your consent. This can include a pay cut, demotion, reduced hours, major change in duties, forced relocation, suspension, or toxic work environment.
Can I claim constructive dismissal if my pay is cut?
Yes, a significant pay cut can be constructive dismissal. This can include a reduction in salary, hourly wages, commission, bonus, or overall compensation.
Can I claim constructive dismissal if I am demoted?
A demotion can be constructive dismissal if it significantly changes your title, authority, responsibilities, status, or compensation.
Should I keep working after a major job change?
Be careful. If you continue working without objecting, your employer may argue that you accepted the change. Speak with a constructive dismissal lawyer before deciding what to do.
Should I resign if I think I was constructively dismissed?
Do not resign before getting legal advice. Resigning too quickly can hurt your claim and make it easier for your employer to argue that you quit voluntarily.
How much severance can I get for constructive dismissal?
Severance depends on factors such as your age, position, length of service, compensation, and the availability of similar work. Many employees are owed more than the minimum amounts under employment standards legislation.
Do I need a constructive dismissal lawyer in Toronto?
If your employer has made a major change to your job, speaking with a Toronto constructive dismissal lawyer can help you understand whether you have a claim and what compensation you may be owed.