Western Excavating (ECC) Ltd v Sharp [1978] IRLR 27 CA

Reports relating to this case:

  • Constructive dismissal: Correct test is based on law of contract

    25 January 1978

    In Western Excavating (ECC) Ltd v Sharp, the Court of Appeal lays down the rule that in order to be able to resign and claim constructive dismissal within the meaning of para. 5(2)(c) of Schedule 1 to the Trade Union and Labour Relations Act, an employee must be able to show that the employer's conduct amounted to a significant breach of a fundamental term of the contract of employment or indicated that the employer no longer intended to be bound by the contract.