Constructive dismissal refers to a situation where an employee resigns from their job due to unbearable working conditions or other issues that are caused by the employer's conduct. In such cases, the employee is treated unfairly and their resignation can be considered as a form of dismissal even though they chose to leave voluntarily. Constructive dismissal is a serious issue and employees who experience it may have legal recourse against their employers for breach of contract or wrongful dismissal.