Constructive dismissal compensation will depend on a number of factors.
If you think you’ve been subject to constructive dismissal, it’s important to know that the law is on your side, and you may well be entitled to compensation.
Constructive dismissal is a specific type of dismissal that falls into a similar category of as that of unfair and wrongful dismissal.
It occurs when you feel as though you have no other choice but to resign because of a situation caused by your employer.
How Much Compensation For Constructive Dismissal?
Ideally, you’ll seek legal advice before taking any decisive action in terms of handing in a resignation or making statements to your employer.
Because the reality is that whether or not you can make a constructive dismissal claim usually comes down to if your employer has seriously breached your contract of employment.
But when it comes to the compensation side of things, that will be decided by an employment tribunal.
The ruling will follow the same guidelines as an unfair dismissal tribunal…
Which means that the amount of compensation you’re entitled to will depend on:
- The amount of time you had worked for your employer when dismissed
- Your age when you were constructively dismissed/resigned
- Your weekly pay before tax and national insurance are deducted, known as gross weekly pay
It’s worth knowing that any constructive dismissal claim must be made within 3 months of your employment ending, whether it was the date of your resignation or the last day of your notice period.
Making a constructive dismissal claim might mean going to an employment tribunal if it can’t be resolved beforehand. Before you make a claim, you should seek to come to a resolution with your employer, which might be a settlement agreement.
Your solicitor or legal expert will be able to help you with how to proceed but there are some set figures when it comes to the financial award that you’re given by an employment tribunal. It’s split into a ‘basic’ award and a ‘compensatory’ award.
The basic award is calculated as follows:
- Half a weeks’ pay for each complete year of employment under the age of 22
- 1 weeks’ pay for each complete year of employment between 22-40
- 1.5 weeks’ pay for each complete year of employment aged 41+
A weeks’ pay is capped at £544 if you were dismissed between 6 April 2021 and 5 April 2022, or £571 if you were dismissed on or after 6 April 2022.
The basic portion is also capped at a maximum of 30 weeks’, so the total figure will either be £16,320 (if dismissed between 6 April 2021 – 5 April 2022) or £17,130 for those dismissed on or after 6 April 2022.
At this point, compensatory awards will depend on your circumstances, which is why it’s important that you document any and all behaviours and issues that have led to your resignation.
For example, it might be you have lost earnings and missed out on bonuses, pensions, and other financial remuneration.
It might be that you’ve been discriminated against or bullied, or you might not have been paid the agreed amount as stipulated in your contract without good reason.
There are other reasons, too, such as if you’ve raised a grievance that you feel hasn’t been dealt with possibly or hasn’t been dealt with or investigated at all.
But the reality is that any situation that makes you feel as though you have no other choice to resign could well be considered constructive dismissal – but it’s vital that you speak to a legal expert as soon as possible to figure out the strength and merits of your case.
Constructive Dismissal Solicitors Near Me
If you need help or advice regarding a constructive dismissal case, we’re here to help.
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