Are there still unlawful circumstances where a person can be terminated being in an “at will” employment state?
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Are there still unlawful circumstances where a person can be terminated being in an “at will” employment state?
Being from an “at will” employment state. Legally, can a company decide to outsource a department and terminate everyone with little to no notice, refusing to pay any severance along with refusal to have anyone within the company write a letter of recommendation on behalf of the company? Also, for someone who was a manager for that department, if they do keep them within the company, if their position is “eliminated” legally, can they lower their pay to what they should be making based on their new title?
Asked on August 9, 2012 under Employment Labor Law, Minnesota
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
1) Yes, a company may outsource a department and terminate everyone within it without notice, so long as the WARN Act is not triggered (i.e. so long as less than 50 employees are affected; if 50 or more, the WARN Act may come into play--you can find information about the Act at the U.S. Department of Labor website).
2) The law does not require severance.
3) The law does not require recommendations.
4) Employer may demote employees and/or change their pay at will, so long as the employee does not have an employment contract to the contrary.
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