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The rule usually followed in California is that the employment of an employee may be terminated at the will of the employer even in the absence of lawful reasons. When there is no explicit written or verbal contract of employment that has been entered into, such an employment arrangement is termed "at-will employment," which is usually the case with most employees. Without a contract, employers can fire an employee without fear of retribution or consequences. There are many situations where firing or laying off employees can lead to a damages claim, despite the fact that it may seem as though the law favors employers.

The termination of the service of an employee will not depend on the will of the employer if it can be proven that the employment was offered on an agreement which didn't allow termination without proper reasons. Sometimes this can be settled by simply referring to the employee "handbook," which may specify the only reasons for which an employee can be terminated. This practice is relatively common in both large and small companies. Inter-office memos and company "guidelines" along with other writings may also set forth reasons for termination. An employee may claim a breach of contract against an employer if that employer neglects to follow company rules.

It’s hard to rely on employment rules because they are not in black or white, but in a gray area most if not all the time. This is considered an implied contract and does not necessitate a verbal agreement. Usually, there is an implied contract wherein the employee will not be fired except under just cause. Conditions such as personnel policies of the employer, actions or communications by the employer reflecting assurances of continued employment, practices of the industry in which the employee is engaged, and the employee's longevity of service can determine whether such a contract exists.

When an employer decides to demote or discharge an employee on justifiable grounds, it must be admitted that the decision is based on just cause and reason. The employer is unprofessional if he terminates someone without solid reason. Additionally, an employer will be held liable for the termination of any employee on the basis of race, gender, color, religious denomination, or country of origin.

An employee's right to fair and equal treatment in the workplace is protected by law; therefore, that employee may have sufficient grounds for a lawsuit if they are terminated without just cause. In cases such as an employer penalizing an employee for highlighting work related wrong doings to the appropriate authorities, the employee has a right to compensation in a majority of the cases. This is at times termed as a "whistleblower" claim.

Employers sometimes exploit their workers by making their termination look lawful, which on detection causes a damage claim after the fact. Some employers discharge employees after they exploit them, but before the employee can realize what has happened. One such example exists in the State of California where the Labor Code entitles employees to certain breaks, such as rest and lunch breaks. Failing to follow the law will subject employers to penalties that can be collected by employees after seemingly lawful discharges. Furthermore, after an employee has been terminated, the employer is required by law to provide prompt compensation or, if the employee resigns, the employer must provide payment within three days (or 72 hours) of the resignation. If the employer does not comply with the time limitations, they can be subjected to penalties such as continuation of pay for 30 additional days.

When an employee is relieved from a job, it is quite common for the employee to receive compensation for which he or she is entitled to in addition to their last paycheck. The question of damages crops up if the employee has been unfairly suspended or has been wrongly treated after suspension (violating the labor code).

Every case is different, but the possible repercussions of a wrongful termination suit are nearly limitless. To get appropriate justice, you need to approach an expert lawyer who can present your trial case in a factual and lawful manner.


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