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What does "At Will" employment mean?

Ramon Martin • July 9, 2024

Alabama Employment Law Attorney

"At-will" employment is a term used in U.S. labor law to describe an employment relationship in which either the employer or the employee can terminate the employment at any time, for any reason, or for no reason at all, without prior notice, as long as the reason is not illegal (e.g., discrimination based on race, gender, religion, etc.).


Key points of "at-will" employment include:


  1. Mutual Flexibility: Both the employer and the employee have the freedom to end the employment relationship without needing to provide a reason or advance notice.
  2. Exceptions: There are several exceptions to at-will employment, including:
  3. Public Policy Exception: Employees cannot be terminated for reasons that violate public policy, such as refusing to engage in illegal activities.
  4. Implied Contract Exception: An implied contract may exist if there are promises or guarantees of job security made by the employer.
  5. Good Faith and Fair Dealing: Some states recognize a covenant of good faith and fair dealing, which means employers must act fairly and not terminate employees in bad faith or with malicious intent.
  6. Discrimination Protections: Employers cannot terminate employees for discriminatory reasons protected under federal, state, or local laws.


"At-will" employment is the default rule in most U.S. states unless there is a specific contract or agreement in place that states otherwise.


An employer violates at-will employment when they terminate an employee for reasons that are illegal or fall under the exceptions to at-will employment. Some common scenarios include:


  1. Discrimination: Terminating an employee based on race, color, religion, sex, national origin, age, disability, genetic information, or other protected characteristics under federal, state, or local anti-discrimination laws.
  2. Retaliation: Firing an employee for exercising their legal rights, such as filing a complaint about workplace safety, discrimination, or harassment, or participating in an investigation or lawsuit related to such complaints.
  3. Violation of Public Policy: Terminating an employee for reasons that violate public policy, such as:
  4. Refusing to engage in illegal activities.
  5. Reporting illegal activities (whistleblowing).
  6. Exercising a legal right (e.g., voting, serving on a jury).
  7. Taking legally protected leave (e.g., Family and Medical Leave Act).
  8. Breach of Implied Contract: Terminating an employee when there is an implied contract suggesting job security, which can arise from:
  9. Verbal promises made by the employer.
  10. Written statements in employee handbooks or company policies.
  11. Employer conduct that implies continued employment.
  12. Breach of Good Faith and Fair Dealing: Some states recognize an implied covenant of good faith and fair dealing, which means that employers must not terminate employees out of malice or in bad faith. For example, firing an employee to avoid paying earned bonuses or benefits.



In these cases, the employee may have grounds for a wrongful termination lawsuit. Contact The Justice Law Firm, LLC today for a FREE consultation.

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