If you can show that you have been constructively unfairly dismissed and you have two years’ service, then your compensation will be made up of:

a basic award calculated in a similar way to the statutory redundancy payment formula ; and

a compensatory award which is a calculation of the money you have lost as a result of the constructive dismissal i.e. the value of your net earnings and benefits. This is capped at a maximum of 1 year’s salary, or £89,493 (the current statutory cap for dismissals between 6 April 2021 and 5 April 2022), whichever is the lower. The exception to this is where the breach of contract is related to another issue such as unlawful discrimination, whistleblowing, health and safety breaches, pregnancy or if the constructive dismissal arises out of you trying to assert a statutory right. In those situations, the statutory cap does not apply.

If you started a new job during your notice period, you must take account of this in a constructive dismissal claim.

In addition, you may be able to claim for your notice period and your loss of statutory rights, amongst other heads of claims. For an example Schedules of Loss, take a look at our free, downloadable documents available in our Legal Library .

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