Timothy F. Rayne, Esquire

In the absence of a contract, either an employer or employee may terminate an employment relationship at-will – generally without legal
ramifications

As a matter of law, if you are unhappy in your job, you are free to quit – unless you are bound by a contract. Likewise, an employer is free to make business decisions regarding employment, including terminating employees. These decisions are protected by Pennsylvania's Employment-At-Will Doctrine, which provides that absent a contractual or statutory restriction, either the employer or the employee may terminate the employment relationship for any reason or for no reason. The employment relationship continues at the will of the employee or employer. The employer is able to exercise free reign over its business and is not bound by logic or fairness in its termination decisions.

Generally, no lawsuit is viable in an at-will employment situation. There are, however, certain exceptions to the Employment-At-Will Doctrine, including contractual claims, discrimination claims, and public policy claims.

Contractual Claims
An employment relationship is presumed to be at-will unless the employee can prove that a contract exists for a specific term, or that a contract exists providing for termination only for just cause or specified reasons. If an employment agreement exists or an employee is a union member who has a Collective Bargaining Agreement, a potential wrongful termination lawsuit exists in the event that the employer does not comply with the terms.

Discrimination Claims
The Federal and State Anti-Discrimination Laws also provide for wrongful termination claims in the event of termination based upon discrimination. These laws protect employees from discrimination based upon certain protected characteristics, including race, religion, national origin, sex, age, and disability. If an employee can prove that termination was motivated by discrimination based upon any of those protected characteristics, he or she can recover damages, including lost pay, lost benefits, compensatory damages, punitive damages, attorneys' fees, and costs.

Public Policy Claims
Pennsylvania courts have also held that wrongful discharge lawsuits are permissible, despite at-will employment, if an employee can show there is a clear public policy prohibiting or mandating the conduct that led to the termination. The public policy exception generally applies in one of the following situations:

1. The employer requires the employee to commit a crime;
2. The employer prevents the employee from complying with a statutory duty; or
3. The employer fires the employee in violation of a statute.

Some examples of the public policy exception permitting a wrongful discharge lawsuit include the following:

• Discharge for reporting illegal acts or safety violations;
• Discharge for refusing to take a polygraph test;
• Discharge for refusing to lie to authorities or commit a criminal act; and,
• Discharge for participating in jury duty.

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