Constructive Dismissal Affect Employer Brand Reputation
A constructive dismissal can be a costly affair for employers. Not only does the employee have to pay compensation, but it can also damage an employer’s reputation as a good place to work. Constructive dismissal is when an employee feels they have no choice but to resign because their employer has created intolerable working conditions. This can be a result of several different things, including making significant changes to an employee’s employment terms without their consent or creating an environment where the ability to carry out their job is seriously affected by something else. This can include harassment, bullying, and threats of violence. This type of situation can have a serious impact on an employer’s brand reputation, particularly if it is a high profile case that receives media attention.
While this issue can be difficult to address, there are ways in which it can be pre-empted before it gets out of hand. Employers should be aware of the signs that an employee is feeling under threat and ensure that their employees have a safe, respectful workplace to prevent them from taking legal action.
An employee may be able to sue their employer for constructive dismissal if there is a breach of an express or implied term of their employment contract. The former will involve a change to an express term of the contract, such as salary, position title, reporting functions within the company hierarchy, or working hours. In contrast, a breach of an implied term will be more difficult to prove and involves a bad faith behaviour that damages the trust and confidence that exists between the two parties.
How Does Constructive Dismissal Affect Employer Brand Reputation?
This can include a failure to provide training, make a reasonable accommodation, or maintain safe working conditions. It can also include passing an employee over for a promotion or demoting them, as well as refusing to investigate complaints or misconduct. It can also include retaliation for reporting wrongdoing or participating in an investigation, such as being sacked, suspended, or made the subject of derogatory comments by managers.
If you have a non-unionised business, you can minimise the risk of a constructive dismissal lawyer near me by making sure that all staff have their contracts clearly stated. This will be a big step towards protecting the reputation of your employer brand.
You should also look into ways to prevent an employee from resigning in the first place. For example, you could use a company such as Factorial to monitor the sentiment of your employees using surveys that categorise them into detractors, passives and promoters. This will give you visibility over any issues before they reach a critical stage and allow you to take corrective action. If you are worried about an employee leaving your business, it is worth seeking the advice of a wrongful termination lawyer. Their expert knowledge will help you avoid a potentially expensive claim, as well as protecting your employer brand reputation.