At-Will Employment
WHAT DOES IT MEAN TO BE AN AT-WILL EMPLOYEE?
If you work in an “at-will” employment state, then you can be terminated from your position for any legal reason. Even if you are an at-will employee there are legal restrictions on the hiring and termination process. For example, if the employer has more than fifteen employees, it is subject to Title VII of the Civil Rights Act, which prohibits firing employees on the basis of race, sex, color, national origin, and religion. There are additional laws that prevent employers from firing employees based on age or disability.
Many people do not realize that, even though they are classified as an at-will employee, they still have legal recourse if they experience workplace discrimination. At-will employees can still report problems to the Department of Labor and file charges of discrimination with the Equal Employment Opportunity Commission.
In some jurisdictions, employees can only be fired for good cause. This was common before the industrial revolution and only a small number of states still follow this practice.
If your employer hires you for a definite term of employment, then you are no longer an at-will employee. It is increasingly common for employers to hire workers as independent contractors. This practice has increased as a way to cut expenses—employers are not required to pay payroll taxes for independent contractors.