In employment law, "at-will" describes a type of employment agreement where an employer can terminate an employee's employment for any reason (that is not illegal, such as discrimination or retaliation) and without warning, and where an employee can similarly leave their job at any time, for any reason, and without notice. The doctrine is a cornerstone of employment in the United States and allows for a flexible labor market. However, it is important to note that certain exceptions and limitations apply, such as union contracts, public policy exceptions, and implied contracts, which can modify or restrict an employer's ability to terminate at-will. State laws may also add specific limitations. This flexibility often comes at the cost of job security for employees.
At-will meaning with examples
- Sarah was hired at-will by a tech startup. After six months, the company restructured and laid off several employees, including Sarah, with no prior warning or stated cause. Because her employment was at-will, the company was legally permitted to do so. She did however receive a small severance package. The company was operating under California law.
- John accepted an at-will position at a retail store. He found a better opportunity elsewhere, and he immediately informed his manager. Due to the at-will nature of the employment, John was free to leave his job without providing any advanced notice. The employer was unable to stop him. He's happy with his new company.
- Despite having a stellar performance review, Maria was terminated from her at-will marketing role. The company cited economic downturns as a reason, though many employees felt the actual reason was due to personality clashes with a supervisor. Because of the agreement, Maria had no legal recourse, unless evidence of discrimination or retaliation was present.
- The employment contract explicitly stated that the position was at-will. This clause was included to protect the employer's right to make staffing decisions based on business needs. This protection is more commonly used in non-union environments. Any new employees are clearly given this information, so they know what they are getting into.
- While employed at-will, David expressed concerns about unsafe working conditions to his supervisor. Shortly after, he was fired. If it can be proven that the termination was in retaliation for reporting the safety concerns, he may have a case against the employer, despite the at-will status, as this would be against public policy.