Remedies in Case of Violation of an Employment Contract

Posted by Human Rights Advocacy Firm on July 8th, 2021

The remedies depend mainly on the type of contract violated and the general course of the violation. Suppose the violation is related to non-payment of wages. In that case, remedies may include compensation paid by the employer to reimburse the employee's unpaid wages. Typically, most losses are limited to expected losses, which are detailed in the employment contract.
An example of this would be an employer who agrees to pay an employee a specific salary for a certain period but then tries to fire him before that time. In this case, the employee can sue the employer to compensate for the loss of wages for the remaining specified period.
However, in cases like the example just mentioned, the employee is obliged to mitigate the consequences. Therefore, the employee must immediately look for a similar job elsewhere. If he can get a job but for less than he was paid under the previous contract, he can still claim damages to make up the difference. Another potential remedy is for the employer to reinstate an employee in their last position, for example, following an incident of wrongful termination. Other common remedies include:
  • Rewriting the contract taking into account changes in circumstances;
  • Employer policy changes;
  • Payment of forfeit.
Compensatory damages such as pain and suffering and punitive damages are usually not awarded granted in contract cases.

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Human Rights Advocacy Firm
Joined: June 25th, 2021
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