Add Comment Question: Is it constructive Dismissal to apply a 25% salary reduction to my 2 employees due to lack of work? Answer: Yes, a 25% reduction is likely grounds for a constructive dismissal claim. I would strongly recommend that you consult our lawyers before implementing any reduction in pay for employees. Your Comment * Your Email * Your Name * Your City Note, your name, city and email is not displayed on the website. It is used to notify you that we have approved your comment.