If you’re thinking about resigning from your job because of how you’ve been treated, you might be wondering whether that counts as constructive dismissal.
This page explains what constructive dismissal means under New Zealand employment law — and why these cases are complex and difficult to win. If you’re in this situation, we strongly recommend you get legal advice before resigning.
What Is Constructive Dismissal?
Constructive dismissal is when an employee feels forced to resign due to their employer’s conduct. That might include:
- Bullying or harassment that hasn’t been addressed
- Being repeatedly undermined or excluded
- A major, unjustified change to your role or hours
- A failure to act on serious complaints or health and safety issues
In some cases, the law may treat your resignation as if you were unfairly dismissed. But these cases have a high bar — and most do not succeed unless the evidence is very strong.
According to Employment New Zealand, constructive dismissal occurs when an employee resigns because of serious action or inaction by their employer that breaches their legal obligations or makes continuing employment untenable.
Why Constructive Dismissal Claims Are Difficult
Under NZ law, the burden of proof is on the employee. You’ll need to show that:
- Your employer breached significant duties or obligations
- Their actions were serious enough to justify resignation
- You had no other reasonable option but to resign
Even if the treatment was unpleasant or unfair, the law doesn’t automatically consider it dismissal. Many people resign for reasons that don’t meet the legal threshold — and sadly, resigning too early can weaken your case.
Do not resign before getting legal advice. Resigning without a clear strategy may make it harder (or impossible) to raise a personal grievance later.
Alternatives to Resigning
In some cases, it may be better to:
- Raise a formal complaint internally
- Request mediation through MBIE
- Seek legal support while still employed
We can help you assess your options before taking a step you can’t undo.
Do You Have a Case?
We only take on a small number of constructive dismissal cases — typically where:
- There is clear evidence of serious breaches
- Formal complaints have already been made
- Mediation or grievance attempts have failed or been ignored
If you’re unsure, we’re happy to provide a quick, honest opinion. If your case isn’t suitable, we’ll tell you straight away.You can also explore the Early Resolution Service offered by MBIE, which provides free help to resolve employment issues quickly and informally before they escalate.
Contact Us Before You Resign
Free Advice Line – [0800 NOWINNOFEE]
Submit Your Case Online – [use the contact form below]
We understand how hard these situations can be. Our advocates will help you decide the best course of action — and if your case has merit, we can support you through the grievance process.
No Win No Fee NZ
Employment Law Advocates You Can Trust
