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TERMINATION AGREEMENTS
TERMINATION OF EMPLOYMENT
You have just been called into a meeting with
your supervisor or HR person and informed that your job position
has been eliminated or they just tell you that you have been
terminated and no reason is given.
What are your rights and what should you do?
In most states, unless you are under written
contract, your employment is called “at will”
Under employment
at will, employees have no "property rights" to their
job; employers are free to dismiss employees "at will," without
any reason or cause.
Many companies will then proceed to an
exit interview. This is where they inform you of certain rights
and warn you about giving out information about their company.
You maybe asked to sign an agreement that
could be disastrous to
you and because you are
still in a state of shock sign without understanding everything
contained in the document.
For example, in a recent case the employer
terminated employee and offered him a severance package
containing a few months wages. At first glance it sounded good
and allowed him time to find a new job without having to sell
the house and car. However, buried in the small print is a
non-compete which tells him he can not do what he has always
done for a living for two years, sell. What
this means is that they have eliminated him as a potential
competitor because he gave up the right to sell for 2 years for
a couple of months severance pay.
Fortunately, he had enough wit about him
not to sign and see a lawyer. The lawyer helped him negotiate a
severance package without getting into a hole.
Remember, the only reason an employer
wants you to sign an agreement is to benefit them. It is
perfectly alright to sign an agreement provided that it is fair
on both sides.
There are reasons that an employer may not
terminate you.
·
No discharge for discriminatory reason (for example, age, sex,
race, disability).
·
No discharge just because employees exercise their rights under
a Worker's Compensation Act, , or other state, federal or local
law which establishes specific rights or benefits to an
employee.
·
Public Policy (i.e., being a witness at a trial).
·
Collective bargaining agreements or specified contracts of
employment.
Unjust
Dismissal
Employers today are
often finding themselves in the defendant's seat refuting an
'unjust dismissal' claim brought by a disgruntled
employee. While 'unjust dismissal' cases are defined
state-by-state, here are some issues for every employer to
consider:
Unjust dismissal claims are based on the concept that
employees do have some employment-security rights.
Former
employees can argue that an implied contract exists,
even when there is no written contract, which protects
employees against dismissal as long as they are doing
acceptable work.
Employees may
argue that where there are written contracts, parties must
practice good faith and fair dealing, not look for
loopholes or hidden meanings to escape obligations (such as
finding an excuse to dismiss in order to avoid paying a
bonus).
To defend such
cases, Employers must show sufficient cause (a defensible
reason) for dismissing employees.
When courts
rule that there was "unjust dismissal," employees may
receive lost wages and benefits as well as possible damages
awarded for:
Emotional distress--emotional stress and humiliation caused
by a discharge.
Abusive
discharge--employee is insulted or verbally abused as well
as dismissed.
Outrageous
conduct--the intentional infliction of emotional
distress, as in deliberately harassing an employee to force
resignation or being extremely abusive or cruel in the
course of dismissal.
Negligent
evaluation--when company conducts performance reviews but
fails to alert employee that employment is in jeopardy from
poor performance.
Defamation--harming a person's reputation by libel or
slander.
Punitive
damages--awards used to punish a defendant and to prevent
repetition of the offense by the defendant or others.
If you think you have been terminated
wrongly, consult with a lawyer. Know your rights.
FOR FREE
CONSULTATION CALL 301 738-5700
A Maryland law
firm also serving the District of Columbia and the Nations.
Maryland lawyers who understand the laws and how to protect your
rights
YOU SHOULD REMEMBER THE INFORMATION
THAT YOU READ HERE IS GENERAL IN NATURE AND NOT MEANT TO BE A
SUBSTITUTE FOR SPECIFIC LEGAL ADVICE FROM AN ATTORNEY.
ATLANTA-WASHINGTON-SAN FRANCISCO
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