An employee has won three months lost wages plus $5,000 compensation and costs after resigning following a demotion.
The employee (store manager) was demoted without warning or fair process, and in front of other staff and customers. She resigned and filed a personal grievance claim for constructive dismissal.
The employer should have gone through a proper performance review or disciplinary process before considering any demotion, and it should not have acted in front of staff and customers.
If you need help getting your performance processes right give me a call on (04) 473 6850.
Alan Knowsley
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