Friday, March 1, 2013

YOU'RE FIRED! ... Isn't quite that simple anymore...

Avoiding a "Wrongful Termination" Scenario

March 1st, 2013

This information applies to BOTH sides of that "employment" agreement that most employees are required to sign and often take for granted. In many cases neither side may readily understand the wording.  But always keep in mind that the documentation typically "rules" when legal issues are raised.  So it's better to KNOW what it means before you sign or ask someone to officially "sign" the document. 

Part of running a staffing company is the constant turnover of temporary employees. It is by nature a transient business, bringing in workers of varying skill levels, experiences, aptitudes, and situations. Although both you and your client don’t like to do it, once in awhile you’re forced to let an employee go.
If handled improperly, a firing could open a big can of worms in the form of a wrongful discharge suit, and become a bigger problem than an ill-fitting employee. Here are some common issues that crop up when terminating an employee.

The Erosion of “At-Will” Employment

Not everyone understands “at-will” employment. Some take it to mean “I can fire this person at any time for any reason/I can be fired at any time for any reason.” This is not entirely true.

What it really means is that an employee has no predetermined & agreed upon “end date” to their employment period. Laws enacted over the years at all levels of government, along with various legal judgments, have given numerous protections to many employees.

The Employee Retirement Income Security Act, The Worker Adjustment and Retraining Notification Act, and The Family Medical Leave Act are well-known federal laws that cover the dismissals of employees who are close to vesting retirement benefits, part of a large-scale workforce reduction, or dealing with medical issues.
In addition, certain groups are protected by law from firings predicated on their race, gender, religion, national origin, marital status, military service, or a host of other reasons. Even the appearance of impropriety based on these factors could be cause for legal action and the basis for an expensive and embarrassing civil suit.


Express and Implied Job Security

We all know that employment contracts leave little room for interpretation when it comes to ending an employee’s association with a company, but what about your employee handbook?

Since the legal system views things from the point of view of an employee’s reasonable expectations, not the employer’s unexpressed intentions, a listed policy in employee documentation regarding job security and termination will be interpreted as an implied contract and thus legally binding.
Similarly, oral statements made by an employer or an authorized representative of the employer regarding job security and termination policy may be held as another form of implied contract and can be just as legally binding as ink on paper.
Knowing the limits of your authority and the rights of your employees can avoid expensive and damaging wrongful termination suits. Contact your legal department or any available legal representation before you make that final decision.  

When it comes to decisions that directly affect a person's livelihood, legal closure may not be as simple as it appears.

This posting is not meant to as a substitute for any legal advice regarding the rights of employers or employees.... It simply noted that legal consultation, not assumption, be pursued about questions or conflicts on the subject.

Best Regards,
Duskwarby