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Employment - Wrongful Termination

CALIFORNIA LAW PROHIBITS WRONGFUL TERMINATION IN VIOLATION OF PUBLIC POLICY

Employment is generally considered to be "at-will," meaning an employee "may be terminated for no reason, or for an arbitrary or irrational reason."  (Labor Code 2922; Gantt v. Sentry Ins. (1992) 1 Cal.4th 1083, 1094.)  However, "there can be no right to terminate for an unlawful reason or a purpose that contravenes fundamental public policy."  (Id.; see also Tameny v. Atlantic Richfield Co. (1980) 27 Cal.3d 167, 172.)  To establish a claim for wrongful termination in violation of public policy, each of the following elements must be proven:

• An employer-employee relationship;
• The employer undertook some adverse employment action against the employee (e.g., fired or demoted the employee);
• The adverse action was a violation of an established California public policy;
• The termination was a legal ause of the employee's damages; and
• The nature and extent of the employee's damages.

Here are some important things to remember regarding claims for wrongful termination:

• No wrongful termination claims can be asserted against managers/supervisors - only the employer;
• You don't have to be fired to have a claim for wrongful termination.  If you were demoted, received a negative performance review, were suspended, or otherwise suffered any type of adverse employment action, you may have a claim;
• There must be a nexus between the protected activity and the adverse employment action.  As an extreme example, if you reported an instance of sexual harassment in the workplace, but threafter stole company property, your employer can lawfully terminate your employment for the theft of company property.
• The adverse employment action must be in violation of a fundamental and substantial public policy in existence at the time of the retaliatory action.

Examples of protected activities and California public policies:

• Violation of California's Fair Employment & Housing Act, i.e., discrimination, retaliation, or harassment in the workplace;
• Violation of family or medical leave laws;
• Protesting unsafe working conditions;
• Firing a worker for refusing to sign a covenant not to compete;
• Firing a worker for demanding payment of all wages or overtime due and owing;
• Terminating an employee for testifying as a witness in court or before an administrative agency; and
• Firing an employee for discussing wages with coworkers.