Key Takeaways
| Legal Point | What It Means for You |
|---|---|
| Constructive dismissal is a legal claim | You can claim even if you resigned, as long as your employer forced you out through their conduct |
| The Employment Rights Act 1996 protects you | Section 95(1)(c) covers constructive dismissal as a valid form of dismissal in UK law |
| You must act quickly | You generally have three months less one day from your resignation to bring a claim at an Employment Tribunal |
| Breach of contract is the foundation | Your employer must have committed a serious breach of your employment contract for a claim to succeed |
| Early conciliation is a required first step | ACAS early conciliation is mandatory before you can lodge a Tribunal claim |
| You need at least two years’ service | In most cases, you need two years of continuous employment to bring an unfair dismissal claim |
| Do not delay after resigning | Staying too long after the breach can be seen as accepting the new terms, which weakens your claim |
Introduction
Imagine turning up to work every day knowing that your employer is making your life impossible. Your hours change without warning. Your manager humiliates you in front of colleagues. Your salary gets cut without your agreement. So, you feel you have no choice but to resign. That is constructive dismissal, and it happens to workers in Liverpool every single day.
The key question is whether your employer’s conduct was so serious that it destroyed the trust and confidence at the heart of your working relationship. UK courts call this an implied term in every employment contract. When an employer breaks it, they can be liable.
In this guide, we’ll walk you through exactly how constructive dismissal works under UK law, what you need to prove, and what steps to take if you think this has happened to you.
What Constructive Dismissal Actually Means Under UK Law
Constructive dismissal sits within the Employment Rights Act 1996. Specifically, section 95(1)(c) says you can treat yourself as dismissed if your employer’s conduct means you had no reasonable alternative but to resign. That is the legal test, and it’s a high bar to meet.
The Implied Term of Mutual Trust and Confidence
Every employment contract in England and Wales contains an implied term. That term says your employer must not, without reasonable cause, behave in a way that destroys or seriously damages the trust and confidence between you. This principle comes from the landmark House of Lords case Malik v Bank of Credit and Commerce International SA [1997] UKHL 23, which remains central to constructive dismissal law today.
So, what breaks that trust? Here are some common examples:
- Bullying or harassment by a manager or employer
- Demotion without a valid reason or proper process
- Cutting your pay without your consent
- Changing your working hours or location without agreement
- Ignoring a formal grievance you raised about workplace problems
- Singling you out for unfair treatment compared to colleagues
One thing worth knowing: the breach doesn’t always have to be a single dramatic event. Sometimes, it’s a series of smaller incidents that build up over time. Employment lawyers call this the “last straw” doctrine. Each incident on its own might seem minor. Together, though, they can form a fundamental breach of contract.
If you think your employer has pushed you to the point of resignation, the team at Wolf Law can help you understand whether you have a valid claim.
How to Prove Constructive Dismissal at an Employment Tribunal
Proving constructive dismissal is not easy. You carry the burden of proof. That means you must show the Tribunal that your employer committed a fundamental breach, that you resigned because of it, and that you didn’t wait too long before leaving.
The Three Things You Must Establish
Right then, let’s be clear about what a Tribunal will look for. You need to prove three things, and all three must be present for your claim to succeed.
First, your employer must have committed a fundamental breach of your employment contract. Not just a minor inconvenience or a management decision you disagreed with. A fundamental breach is serious. It goes to the root of the contract itself.
Second, you must have resigned because of that breach. If you resigned for an unrelated reason, your claim will likely fail. Keep this in mind if you’re considering your next steps.
Third, you must not have delayed too long after the breach happened. If you carry on working for weeks or months after the incident without raising a grievance, a Tribunal may decide you accepted the new situation. That’s called “affirmation” of the breach, and it kills the claim.
Time limits matter enormously here. You have three months less one day from the date of your resignation to start the ACAS early conciliation process. Miss that deadline, and you’ll almost certainly lose your right to claim entirely. The ACAS early conciliation service is a free resource that can help before Tribunal proceedings begin.
Many clients come to us after raising an internal grievance that their employer ignored or handled badly. That’s actually a strong foundation for a constructive dismissal claim. If you’ve already been through that process, your evidence base could be stronger than you think.
Common Situations That Lead to Constructive Dismissal Claims in Liverpool
You’d be surprised how many different workplace situations can give rise to a constructive dismissal claim. Over the years, we’ve seen this play out across many different industries in Liverpool and across Merseyside.
Workplace Bullying and Harassment
Persistent bullying is one of the most frequent triggers. A client we worked with, a warehouse operative on Merseyside, faced daily verbal abuse from a senior colleague. They raised a formal grievance. Their employer did nothing. So, they resigned. That response, or rather the lack of one, formed the basis of a successful constructive dismissal claim.
Under the Equality Act 2010, harassment related to a protected characteristic such as race, sex, disability, or age can strengthen your claim further. In those cases, you may also have a discrimination claim running alongside your constructive dismissal case.
Pay cuts and changes to working conditions are another very common trigger. Your employer cannot simply reduce your salary, change your shift pattern, or alter your job role without your agreement. If they do, that can amount to a unilateral variation of your contract. That is a fundamental breach. Full stop.
Other situations we regularly see include:
- Employers placing workers on gardening leave with no clear reason
- Failing to follow their own disciplinary or grievance procedures
- Moving employees to less favourable roles as a form of punishment
- Creating an environment where an employee feels forced out after whistleblowing
The Employment Tribunal service provides guidance on the claims process and what to expect if your case proceeds to a hearing.
If any of these situations sound familiar, it’s worth getting legal advice before you do anything else. You can explore your options and find out more about making a personal injury or employment claim through Wolf Law.
What Happens After You Resign: The Claims Process Explained
Once you’ve resigned, the clock starts ticking. Constructive dismissal claims in Liverpool follow the same Tribunal process as unfair dismissal claims, but there are a few extra steps to be aware of.
Starting the ACAS Early Conciliation Process
Before you can submit a claim to the Employment Tribunal, you must contact ACAS and go through their early conciliation process. This is a legal requirement under the Enterprise and Regulatory Reform Act 2013. ACAS will contact your employer and try to negotiate a settlement. If that doesn’t work, they’ll issue you with a certificate that allows you to proceed to Tribunal.
This process pauses the three-month time limit. So, even if you’re close to the deadline, starting ACAS early conciliation stops the clock temporarily.
At Tribunal, the hearing will focus on whether you resigned, whether your employer breached the contract, and whether that breach caused your resignation. If successful, you may receive compensation for your lost earnings, future loss of earnings, and in some cases, a basic award similar to redundancy pay.
Mind you, Tribunal proceedings can be lengthy and unpredictable. That’s why many constructive dismissal cases settle before they reach a full hearing. An experienced employment solicitor can assess the strength of your case and advise on whether a settlement offer is fair.
The Citizens Advice Bureau also provides useful guidance on the Tribunal process for those who want to understand the basics before speaking to a solicitor.
Our team at Wolf Law works on a clear and transparent fee basis. You can find out more about our legal fees and how we can help you pursue your claim without unexpected costs.
Frequently Asked Questions About Constructive Dismissal in Liverpool
Can I claim constructive dismissal if I resigned voluntarily?
Yes, you can. Constructive dismissal is specifically designed for situations where you felt forced to resign because of your employer’s conduct. The law under the Employment Rights Act 1996 treats this type of resignation as a dismissal in certain circumstances. The key is showing that your employer’s behaviour left you with no reasonable alternative but to leave.
How long do I have to make a constructive dismissal claim?
You have three months less one day from the date of your resignation to begin the ACAS early conciliation process. This is a strict deadline. If you miss it, the Tribunal will almost always refuse to hear your case. Do not wait to seek legal advice if you think you have a claim.
Do I need two years of service to claim constructive dismissal?
In most cases, yes. You generally need two years of continuous employment to bring an unfair constructive dismissal claim. There are exceptions, though. If your claim also involves discrimination, whistleblowing, or certain other protected acts, the two-year qualifying period does not apply. Speak to a solicitor to find out which rules apply to your situation.
What evidence do I need to support my claim?
Strong evidence makes a real difference. Keep copies of any emails, text messages, or letters that show how your employer behaved. Note dates and times of incidents. Keep a record of any witnesses. Save copies of your employment contract, payslips, and any grievance correspondence. The more evidence you gather, the stronger your position at Tribunal.
Will I have to go to a Tribunal hearing?
Not necessarily. Many constructive dismissal cases settle before they reach a full Tribunal hearing, often through ACAS conciliation or direct negotiation. That said, if your employer refuses to engage, a Tribunal hearing may be the only route to justice. Your solicitor will advise you on the best approach based on the strength of your evidence.
What can I receive if my constructive dismissal claim succeeds?
If your claim succeeds, the Tribunal can award compensation to reflect your financial losses. This typically covers lost earnings from the date you resigned and projected future losses if you haven’t found a new job. In some cases, a basic award is also available. The amount depends on your age, length of service, and weekly pay at the time of your resignation.
Can I claim constructive dismissal if my employer changed my job role?
Yes, in many cases you can. If your employer changed your role, responsibilities, or working conditions without your agreement and without a valid contractual reason, that can amount to a fundamental breach of contract. This is one of the most common triggers for constructive dismissal claims. Getting legal advice quickly is important in these situations.
Is constructive dismissal the same as unfair dismissal?
They are related but different. Unfair dismissal is where your employer dismisses you directly but does so unfairly. Constructive dismissal is where you resign because your employer’s conduct forced you out. Both types of claim go to the Employment Tribunal, and both can result in compensation if successful. However, the legal tests you must satisfy are different.
Conclusion
Constructive dismissal in Liverpool is a serious legal matter, and you should not face it alone. If your employer has made your working life unbearable, cut your pay without consent, bullied you, or ignored your grievances, then you may well have a valid claim even though you resigned.
The law gives you rights. The Employment Rights Act 1996 exists precisely to protect workers in situations like yours. But time limits are strict, and the legal test is demanding. That’s why getting advice from an experienced employment solicitor as quickly as possible makes such a difference.
At Wolf Law, we understand the impact that a toxic workplace can have on every part of your life. If you think you’ve been constructively dismissed, contact us today to discuss your situation and find out where you stand.
This article is intended for informational purposes only and does not constitute legal advice. For specific advice relating to your circumstances, please contact Wolf Law directly to arrange a consultation with one of our qualified solicitors.
