What is “At-Will” Employment?

California is considered an “at-will” employment state, which means that employees are free to leave their jobs at will, and employers are allowed to fire their employees at will, so long as it is for a lawful reason. In these very uncertain times of the coronavirus pandemic, it is critical that employees in California understand what at-will employment means for their job security as well as what an employer is and is not allowed to do in an at-will employment state. For more information about your at-will employment position, call or contact an experienced employment law attorney in your area today.

Reasons for Termination

One important, and oftentimes confusing, aspect of at-will employment is why an employer can fire an employee. Contrary to popular belief, an employer does not need a good reason to fire an employee who is at-will. A worker can be fired for no reason, or for an arbitrary reason, even if the employee is doing a good job in the position. However, there are some restrictions on when an employer can fire an employee, and these revolve around protected classes and other legal purposes. State and federal laws protect employees from being terminated, even in an at-will state, for the following reasons:

• Being part of a protected class, such as race, ethnicity, gender, disability, sexual orientation, or religion
• Political orientation
• For requested legally-entitled time off from work
• Retaliation for reporting employer violations of law

If an employer fires an employee for an unlawful reason, the employee has a valid action against their employer for wrongful termination. However, if the employer fires a worker for a lawful reason, or for no reason at all, there may be no legal recourse for the employee.

Contracted Workers

Another time when employers may not fire an employee without cause in an at-will state like California is when the worker is employed by an express or implied contract. An express contract is one, usually in writing but can be oral, that stipulates the terms of the employee’s work. An implied contract is one that is assumed based on the context of the situation and the actions of both the employer and employee. In both express and implied contracts, the employer may not be able to simply terminate the worker’s employment for no reason.

For contracted workers, the employer may be required to show cause for the firing or else face a claim of wrongful termination. This is often referred to as a “good cause” clause in a contract, which means that the employer cannot fire the worker in bad faith, for trivial or capricious reasons, or for a reason unrelated to the business needs or goals. The good cause clause can either be in writing in an express contract or understood as part of the employment in an implied contract.

Call or Contact an Employment Attorney

For more information about at-will employment in California, call the office or contact an expert in employment law today to schedule a consultation of your employment claims.