Wrongful Termination
Wrongful termination means terminating an employee for illegal reasons or failing to follow a termination procedure within an employment contract. An example of a wrongful dismissal includes the following:
- when an employee is dismissed without being given a notice period
- when an individual has not been given a full notice period that they have been entitled to
Steps to prevent a wrongful termination
As an employer it is important that a correct procedure for terminating an employee is followed. Below are some steps which can be taken before dismissing an employee:
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Ensure that the employee is given notice to which they are entitled under their contracts, unless the termination is by reason of the employee’s gross misconduct.
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Only terminate an employee’s contract with pay in lieu of notice if a clause entitling the employer to terminate with pay in lieu is included in the employee’s contract
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Ensure that contracts of employment are terminated in accordance with the provisions in the contract.
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Avoid taking steps which amount to a repudiation of the contract of employment, since this will entitle the employee to resign and claim damages for wrongful dismissal (in addition, possibly, to a claim for constructive unfair dismissal).