Five Ways To Avoid Or Win Wrongful Termination Claims
On Behalf of Cameron & Mittleman, LLP | Oct 19, 2021 | Business And Commercial Law, Commercial Litigation | Employers have the right to make their own personnel decisions. However, it seems that every business will have to deal with former employees who claim that they were wrongfully terminated. Even in “at-will” states, employers are prohibited from terminating an employee for legally impermissible reasons. Wrongful termination lawsuits can come as a big surprise to a business, or it may be clear from an employee’s exit that there could be trouble. Regardless of how the employee left and the reasons for the employee’s termination, employers can take several steps to protect the company against such claims.
Businesses can generally terminate an employee for any reason, or no reason at all, unless it violates their employment agreement or the civil laws that protect individuals here in the United States. Examples of wrongful terminations include: Here are five actionable items that businesses can use to protect themselves: The goal of a termination is not to punish the employee but to protect your business. BY SHAYNE FITZ-COY, CO-FOUNDER OF SABOT FAMILY COMPANIES Wrongful termination claims cost businesses financial resources and management time.
With the median EEOC claim over the last six years exceeding $450,000, based on my calculations, the financial stakes couldn’t be higher. Although I rarely hear that someone who was let go at one of our portfolio companies has filed a legal claim for wrongful termination, when filed, these claims take up valuable management time and... The “wrongful” part varies, but the common denominator is that the person wants more money. I re-learned this lesson the hard way recently with an employee we’ll call “Jay.” He regularly slept at his desk and disappeared for hours during the workday. His performance issues were obvious during his brief six-week tenure. But when we terminated his employment we faced an uphill battle defending our decision because we had failed to properly document these incidents, resulting in money paid to the employee.
When an employee alleges they were unfairly fired, navigating defenses to wrongful termination claims can be a daunting task. A successful defense isn’t just about what happened, but how the termination can be legally justified. Here are some common legal defenses employers use: Wrongful termination lawsuits are costly and time-consuming. Understanding the legal landscape and available defenses is crucial for protecting your company. Proactive measures and a strong legal strategy can make all the difference.
I’m Michael Weiss. For over 40 years, I’ve helped businesses steer complex commercial disputes, including wrongful termination claims. My expertise lies in crafting legal strategies to achieve client goals, both in and out of the courtroom. <img decoding="async" alt="Infographic illustrating the difference between a legal but unfair termination (at-will, for no reason) and an illegal wrongful termination (discrimination, retaliation, public policy violation, contract breach) - defenses to wrongful termination infographic... Wrongful termination can be hard to prove because most employees are employed at will. This means most of the time while employed you and your employer are given the free will to decide when to start and finish employment and no reason has to be given by your...
It is down to you to prove if your employer has violated any state or federal laws which cover discrimination, whistleblowing and the taking of family or medical leave. Hiring an employment attorney can increase your chances of winning your wrongful termination case, as do following the following tips. Before you can file a claim for wrongful termination you should make sure you know your status as a worker. If you are an at-will employee, or you work as a contractor, this can affect the rules for termination. You should be able to tell by looking at the documents given to you when you began to work for your employer. If an employer decides to fire you for a poor work record, then there is not much you can do about it.
If you can prove you were fired due to the3 protected reasons then you may have grounds to file a wrongful termination claim. The 3 protected reasons are: Based on federal laws an employer should not be able to terminate an employee due to any of the following reasons: The False Claims Act contains an anti-retaliation provision that makes it illegal for employers to retaliate against employees who participate in whistleblowing against them. Any employee who successfully proves a False Claims Act retaliation case is entitled to be reinstated and should receive the following: Unlawful terminations are a prevalent reality in many industries.
It happens when you fire an employee for an illegal cause or when the dismissal doesn’t adhere to termination policies. Other than Montana, all states in the US follow an at-will employment system. It’s the default employment arrangement where employees can leave their jobs anytime, and you can terminate them for any reason and at any point. Unless the employment contract specifies the termination causes, both parties can end it for any or no reason without incurring legal liability. But not all terminations in at-will employment arrangements are legal. In certain situations, terminating an employee could violate a state or federal law.
Lawsuits involving wrongful terminations can be costly, regardless of whether or not you win the case. Alistair Vigier of Clearway says that “Terminating an employee is hard enough without the additional stress of dealing with wrongful termination lawsuits. Too often, many employers expose themselves to unnecessary liability. This article highlights some tips to help you avoid legal liability for wrongful terminations.” Accusations of wrongful termination can be a significant liability for the company, exposing it to potential reputational and financial damage. For this reason, taking proactive steps to prevent it is essential.
Two words that no employee wants to hear and, frankly, no employer wants to say, especially after spending time and investing resources into the recruitment, onboarding, and training process. But the fact of the matter remains that, in the world of employment, termination is not avoidable. Here at Combined, our HR experts have helped countless employers, just like you, develop a compliant approach to termination. We can help you put the proper procedures in place so that you are protected from disputes and damages following employee dismissal. In this article, we will discuss the proper process for parting ways with an employee. By reading it, you will learn 6 strategies to reduce your risk of wrongful termination claims.
In the United States, though limitations apply, all 50 states recognize at-will employment. If an employee is successful at proving constructive discharge, your business may face a five- to six-figure lawsuit. Other than preventing costly litigation, avoiding wrongful termination lawsuits is important because it’s the right thing to do. By preventing and investigating harassment and discrimination in your workplace, you create an environment that is safe for everyone. As a result of your efforts, you can also decrease the odds of having and losing a wrongful termination lawsuit. In a landmark case involving the National Labor Relations Board (NLRB), constructive discharge was first created as a legal doctrine.
Back then, employers in the 1930s used harassment and intimidation to get employees to quit rather than having to fire them. In the 1938 Foods v. NLRB case before the Supreme Court, this method of effectively firing workers was deemed illegal. In a Mission to Grow podcast on avoiding wrongful termination lawsuits, Brian J. Shenker, principal in the Long Island, New York, office of Jackson Lewis P.C., talked about constructive discharge in the United States today. According to Shenker, “The Supreme Court has defined this doctrine as an employee’s reasonable decision to resign because of unendurable working conditions so that it’s equated with a formal discharge by the employer.”
The Equal Employment Opportunity Commission (EEOC) defines a constructive discharge to be any time when you’re effectively forcing an employee to leave by making work conditions so intolerable that they can’t stay. To fit the doctrine of constructive discharge, three key facts must be true.
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On Behalf Of Cameron & Mittleman, LLP | Oct 19,
On Behalf of Cameron & Mittleman, LLP | Oct 19, 2021 | Business And Commercial Law, Commercial Litigation | Employers have the right to make their own personnel decisions. However, it seems that every business will have to deal with former employees who claim that they were wrongfully terminated. Even in “at-will” states, employers are prohibited from terminating an employee for legally impermissi...
Businesses Can Generally Terminate An Employee For Any Reason, Or
Businesses can generally terminate an employee for any reason, or no reason at all, unless it violates their employment agreement or the civil laws that protect individuals here in the United States. Examples of wrongful terminations include: Here are five actionable items that businesses can use to protect themselves: The goal of a termination is not to punish the employee but to protect your bus...
With The Median EEOC Claim Over The Last Six Years
With the median EEOC claim over the last six years exceeding $450,000, based on my calculations, the financial stakes couldn’t be higher. Although I rarely hear that someone who was let go at one of our portfolio companies has filed a legal claim for wrongful termination, when filed, these claims take up valuable management time and... The “wrongful” part varies, but the common denominator is that...
When An Employee Alleges They Were Unfairly Fired, Navigating Defenses
When an employee alleges they were unfairly fired, navigating defenses to wrongful termination claims can be a daunting task. A successful defense isn’t just about what happened, but how the termination can be legally justified. Here are some common legal defenses employers use: Wrongful termination lawsuits are costly and time-consuming. Understanding the legal landscape and available defenses is...
I’m Michael Weiss. For Over 40 Years, I’ve Helped Businesses
I’m Michael Weiss. For over 40 years, I’ve helped businesses steer complex commercial disputes, including wrongful termination claims. My expertise lies in crafting legal strategies to achieve client goals, both in and out of the courtroom. <img decoding="async" alt="Infographic illustrating the difference between a legal but unfair termination (at-will, for no reason) and an illegal wrongful term...