At-Will Employment and Its Exceptions

Most jobs in the U.S. are at-will, which means that the employer or the employee can end the employment relationship any time, for any reason or no reason at all. If an employment contract does not say whether the job is at-will, the default rule is that the job is at-will. However, there are several major exceptions to at-will employment.

First, a union might negotiate a collective bargaining agreement with their employer so that employment contracts for unionized workers are not at-will. Or, an employer might voluntarily put a for-cause provision in their employment contracts, which means that employees can only be fired for cause (for specific reasons).

Second, federal, state, and/or local laws might make it illegal to fire an employee based on discriminatory reasons, harassment, retaliation, and so on. A prime example here is Title VII of the Civil Rights Act of 1964, which prohibits workplace discrimination based on race, color, religion, sex, and national origin. Thus, if an employer fires an employee because of the employee's religion, that could be a violation of Title VII, and at-will employment would not be a defense for the employer.

Third, states have developed additional exceptions through court decisions (common law). Illinois and Indiana recognize a public policy exception to at-will employment: an employer cannot fire an employee for doing something that the courts believe is in the public interest, such as refusing to violate the law, whistleblowing, or pursuing a workers' compensation claim. Illinois and Indiana also recognize an implied contract exception to at-will employment: an employee might no longer be at-will if the employer makes an implied contract to the employee regarding job security, duration of employment, or termination only for cause. Thus, employers need to be careful about what they communicate to employees, whether orally or in writing (e.g., in an employee handbook), as such communications can create an implied contract in favor of the employees.

Thickstun Luo LLC may be able to help you pursue a legal claim in Illinois or Indiana if you have been wrongfully fired from a job. Contact us today for a consultation.

LEGALESE is an online blog by Thickstun Luo LLC. The blog explains legal terms and concepts in plain English.

Disclaimer: The LEGALESE blog and the posts therein do not form an attorney-client relationship between you and Thickstun Luo LLC. Furthermore, this blog is not intended to render legal advice regarding your specific situation. You should consult an attorney for specific legal advice. Some content in LEGALESE blog posts pertain to state-specific legal rules and concepts that may not be applicable in every jurisdiction.