Legal Definitions - wrongful termination in violation of public policy

Wrongful termination in violation of public policy refers to a specific legal claim an employee can make if they are fired for reasons that go against a fundamental societal principle, even though most employment relationships are generally "at-will."

In many jurisdictions, employment is considered "at-will." This means that, in most cases, an employer can terminate an employee, and an employee can leave their job, at any time, for almost any reason or no reason at all, as long as the reason isn't discriminatory or otherwise illegal (like firing someone based on their race or religion).

However, the concept of wrongful termination in violation of public policy creates a narrow but important exception to this "at-will" rule. It protects employees from being fired when their termination would undermine a clear and important public policy. These policies are typically found in state or federal laws, administrative regulations, or well-established legal principles.

Generally, an employee might have a claim for wrongful termination in violation of public policy if they were fired for:

• Exercising a legal right or fulfilling a legal duty.
• Refusing to participate in an illegal, unethical, or unsafe activity.
• Reporting an employer's illegal or unethical conduct (often referred to as whistleblowing).

To successfully bring such a claim, an employee typically needs to demonstrate that:

1. A clear public policy exists, usually outlined in a law or regulation.
2. Their dismissal would jeopardize or undermine that public policy.
3. Their actions, which were related to that public policy, were the primary reason for their termination.
4. The employer did not have a legitimate, non-policy-related business reason for the dismissal.

If successful, an employee may be able to recover damages, including lost wages and, in some cases, additional penalties against the employer.

Examples:

• Refusing to Commit an Illegal Act:

  Imagine Maria, an accountant at a manufacturing company, discovers that her employer is intentionally misrepresenting production numbers to illegally inflate their stock value. When her manager instructs her to sign off on these fraudulent financial reports, Maria refuses, citing ethical concerns and the illegality of the act. The company subsequently fires her, claiming "poor performance" despite her excellent record.

  This situation illustrates wrongful termination in violation of public policy because there is a clear public policy, enshrined in securities laws and anti-fraud statutes, against corporate fraud and misleading investors. Firing Maria for refusing to participate in an illegal act directly undermines the public's interest in honest financial reporting and corporate accountability.

• Exercising a Legal Duty:

  Consider David, a marketing specialist, who receives a summons for jury duty. He informs his employer, who then expresses frustration and tells him that if he misses work for jury duty, his employment will be terminated because they "can't afford to lose him." David serves on the jury as legally required and is subsequently fired upon his return.

  This is a classic example of wrongful termination in violation of public policy. Serving on a jury is a fundamental civic duty and a cornerstone of the justice system, explicitly protected by state laws. Firing an employee for fulfilling this legal obligation directly violates the public policy supporting a fair and functioning judicial process.

• Reporting Safety Violations:

  Suppose Elena works at a chemical plant and repeatedly observes that the plant is improperly disposing of hazardous waste into a nearby river, a clear violation of environmental laws. After her internal reports to management are ignored, she anonymously reports the illegal dumping to the Environmental Protection Agency (EPA). Shortly after the EPA begins an investigation, Elena is terminated, with the company citing "downsizing" as the reason, even though no other employees in her department were laid off.

  This scenario demonstrates a termination in violation of public policy. There is a strong public policy, reflected in federal and state environmental protection laws, to prevent pollution and protect natural resources. Firing Elena for reporting a serious environmental violation to a regulatory body would jeopardize this policy by discouraging other workers from reporting illegal activities, thereby undermining environmental protection efforts.