What is the term for the illegal termination of an employment contract, often violating its terms?

The term "wrongful dismissal" refers specifically to the illegal termination of an employment contract, where the employer dismisses an employee in a manner that violates the terms agreed upon in the contract or applicable employment law. This can include scenarios such as firing an employee without proper cause, failing to follow the company’s disciplinary procedures, or terminating an employee for reasons that are discriminatory or retaliatory.

Understanding wrongful dismissal is crucial in employment law as it provides a legal basis for employees to seek remedies when their employment is terminated unfairly. Remedies may include reinstatement, compensation for lost wages, or damages related to emotional distress.

In contrast, constructive dismissal involves situations where an employee feels compelled to resign due to an employer's conduct that creates an intolerable work environment, but this is fundamentally different from wrongful dismissal, where the termination is direct. Voluntary resignation is when an employee chooses to leave a job of their own accord, and permissible termination refers to situations where termination follows legal guidelines and contractual agreements.