THE EMPLOYMENT AT WILL DOCTRINE:
What is it?
by
Attorney Steven R. Olson
For additional information: link to Radosevich, Mozinski, Cashman & Olson LLP
Wisconsin follows the Employment at Will doctrine. The Employment at Will doctrine is the basic law applying to the workplace, except for specific statutory exceptions created by the legislature or courts. Although there are some exceptions, discussed in a companion article, those exceptions are limited.
The Employment at Will doctrine means that an employer may fire an employee for any reason, no reason, or even a morally wrong reason. The employer may also change the terms and conditions of employment, such as work hours, job duties, etc. As with most areas of the law, as the Employment at Will doctrine developed, courts tried to strike a balance between the rights of employees and employers. The balance the courts adopted is that the courts do not want to limit an employer's right to fire an employee and, in exchange, will not limit an employee's right to quit and move on to a different or better job.
As an example of the strength of the Employment at Will doctrine, assume a female employee came to work on Monday morning, having visited the hairdresser over the weekend, getting a perm. The employee's supervisor does not like perms; she is immediately fired. Fair? Absolutely not! Legal? Yes, unless the reason for the termination was actually the paralegal's sex rather than her hairstyle. Sex is one of the exceptions to the Employment at Will doctrine. In addition, the courts believe the market place will dictate how an employer treats its employees. If an employer is overly harsh with its employees or pays less than similar employers, employees will tend to 'vote with their feet', leaving for better employment. The inability to keep qualified employees will likely have a negative effect on the employer's business, causing the employer to revisit its policies, pay scales, etc.
Comparing a union workplace to a non-union employer illustrates that employees and employers can 'opt-out' of the Employment at Will doctrine. Almost every union contract, somewhere within its terms, will have a clause prohibiting the employer from firing or disciplining a union member without 'just cause' or 'good cause'. This clause distinguishes a union environment, since the employees by their union have negotiated with company owners to not follow the Employment at Will doctrine.
What requirements does a non-union employer have in Wisconsin? The employer must pay the agreed-upon wage in a timely manner and provide any employee benefit package which has been offered. Minimum wage and overtime laws apply, as do workplace safety laws. Except where a specific statute regulates the work environment, the employer may change the compensation or benefits package at any time and for any reason. However, the employer may not do this because of an employee's membership in a statutorily protected classification, such as sex, race, etc.
For additional information: link to Radosevich, Mozinski, Cashman & Olson LLP