In a constructive dismissal, the employee
resigned involuntarily due to unbearable working conditions created by the
employer. Since the resignation is involuntary, it is essentially a termination
of employment.
Constructive dismissal exists when continued employment is
rendered impossible, unreasonable or unlikely due to one or more of the
following acts: demotion; diminution in pay; or, a clear discrimination,
insensibility, or disdain to the employee. It may also happen when an employee
is placed on preventive suspension for more than 30 days or on a floating
status for more than 6 months.
And
in the case of a transfer of an employee, the employer is required to show that
the act of transferring the employee is out of a legitimate business decision.
And that the transfer is not unreasonable, inconvenient or prejudicial to the
employee. Otherwise, the act of transferring the employee may also be an act of
unlawful constructive dismissal.
Case 1 - TRANSFER OF EMPLOYEE
In
the case of Philippine XXX Corporation, vs.
NLRC, the employee was transferred from Executive Secretary to
the Executive Vice President and General Manager to Production Secretary
with the same salary and workload. The court has ruled that since the
transfer is not unreasonable, nor inconvenient, nor prejudicial to the
employee, and it does not involve a demotion in rank or a diminution of the
employee’s salaries, benefits, and other privileges, constructive
dismissal, in this case, is invalid.
Case
2 - PROFESSIONAL AND SEXUAL HARASSMENT
In
this case of XXX, Inc., vs. Muit , the employee
claims to suffer from professional and sexual harassment leading to the
employee’s resignation. However, there was a lack of substantial, concrete
and credible evidence to support so. Therefore, constructively dismissal is
held invalid.