Medium1 markMultiple Choice
Corporate and Business LawSection ASyllabus CEmployment Law

ACCA · Question 31 · Corporate and Business Law

Which of the following best defines 'constructive dismissal'?

Answer options:

A.

When an employer dismisses an employee without notice for gross misconduct.

B.

When an employee resigns in response to a fundamental breach of contract by the employer.

C.

When an employee is dismissed because their job no longer exists.

D.

When an employer forces an employee to retire at a certain age.

How to approach this question

Identify the scenario where the employee quits but is legally treated as dismissed.

Full Answer

B.When an employee resigns in response to a fundamental breach of contract by the employer.✓ Correct
Constructive dismissal occurs when an employee resigns (with or without notice) because the employer has committed a repudiatory breach of the employment contract.

Common mistakes

Thinking constructive dismissal means the employer formally fired the employee.

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