The Employment Relations Authority has found that an employee’s resignation was a constructive dismissal because of the behaviour of the employer.  The employer was found to have breached its obligation of good faith by failing to communicate with the employee and in failing to pay wages.  The ERA held that the employer’s conduct breaching the statutory duties made it reasonably foreseeable that the employee would not wish to continue the employment relationship.

The employer was ordered to pay $5,000 compensation for the unjustified dismissal.  No lost wages were awarded because the employee managed to find alternative employment the day after he resigned.

The ERA noted that this was the eighth ERA decision in relation to this company for unjustified dismissal claims, wage arrears, compliance orders and penalties.

Alan Knowsley

Employment Lawyer