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Does a cut in paid comission constitute constructive dismissal ?
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My employers of 13 years intend to move my target higher than this year, which will result in a cut in my pay, is this legal ?
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For more on marking an answer as the "Best Answer", please visit our FAQ.Presumably you don't anticipate meeting the target. What does your contract of employment say about the payment of performance-related bonuses? That is what would depend on whether it was legal or not. Constructive dismissal only can ever apply if YOU terminate your contract and claim constructive dismissal
Look at your terms and conditions of employment which should have been issued to you when you joined the company. It is mandatory for every employee to have an employment contract and I imagine there will be a clause about how commission/bonuses are paid and whether they are performance related. An employer has a right to increase your sales target every year. If it's a public company they will have shareholders they will need to keep happy. Have other sales staff been given similarly increased targets? If you are unhappy, raise it with your boss under the grievance procedure, but I imagine most employees in a sales-orientated environment have their targets raised every year.
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