AT-WILL EMPLOYMENTIN

COUNTY GOVERNMENT

Angie Rogers

Webb & Eley, P.C.

Post Office Box 240909

Montgomery, Alabama 36124

Telephone: (334) 262-1850

Email: arogers@rogerslawoffice.com

At-Will EmploymentAt-Will Employment

Alabama is an at-will employment Alabama is an at-will employment statestate

Terminable by either party with or Terminable by either party with or without cause.without cause.

With or without cause = a good With or without cause = a good reason, bad reason, or no reason at reason, bad reason, or no reason at allall

At-Will EmploymentAt-Will Employment

Alabama courts have recognized that Alabama courts have recognized that an employee handbook can an employee handbook can represent a binding contract represent a binding contract obligating an employer to satisfy obligating an employer to satisfy certain conditions precedent to certain conditions precedent to dismissing an employee.dismissing an employee.

At-Will EmploymentAt-Will EmploymentContract ExceptionContract Exception

Signed employment contract Signed employment contract between employer and employee between employer and employee negates at-will employmentnegates at-will employment Parties must look to terms of contract to Parties must look to terms of contract to

govern employment relationshipgovern employment relationship Termination, discipline, and other issues Termination, discipline, and other issues

should be resolved according to contractshould be resolved according to contract

At-Will EmploymentAt-Will EmploymentContract ExceptionContract Exception

Problems arise most often due to change Problems arise most often due to change in leadership in countiesin leadership in counties

Outgoing leaders want to protect Outgoing leaders want to protect employeesemployees

Can create expenses from litigation and Can create expenses from litigation and contract buy-outcontract buy-out

To make contracts enforceable, make To make contracts enforceable, make sure they are formed in accordance with sure they are formed in accordance with local and state lawslocal and state laws

At-Will EmploymentAt-Will EmploymentHandbook ExceptionHandbook Exception

Theory is based on general concepts Theory is based on general concepts of contract lawof contract law

Employment contract is a bilateral Employment contract is a bilateral contractcontract

Handbooks are unilateral contractsHandbooks are unilateral contracts Nature of handbook and whether it is Nature of handbook and whether it is

a contract turns on language in a contract turns on language in handbookhandbook

At-Will EmploymentAt-Will EmploymentHandbook ExceptionHandbook Exception

First, language must be specific First, language must be specific enough to constitute an offer. enough to constitute an offer.

Second, offer must be communicated Second, offer must be communicated to employee by issuance of to employee by issuance of handbook or otherwise. handbook or otherwise.

At-Will EmploymentAt-Will EmploymentHandbook ExceptionHandbook Exception

Third, employee must accept offer by Third, employee must accept offer by retaining employment after he retaining employment after he becomes aware of the offer.becomes aware of the offer.

Fourth, there must be consideration; Fourth, there must be consideration; actual performance of job supplies actual performance of job supplies the necessary consideration.the necessary consideration.

At-Will EmploymentAt-Will EmploymentHandbook ExceptionHandbook Exception

General statements of policy are no General statements of policy are no more than that and do not meet the more than that and do not meet the contractual requirements for an offer.contractual requirements for an offer.

If employer reserves the right to change If employer reserves the right to change policies unilaterally, its reservation policies unilaterally, its reservation operates as a disclaimer to negate any operates as a disclaimer to negate any inference that the handbook constitutes inference that the handbook constitutes an enforceable contract.an enforceable contract.

At-Will EmploymentAt-Will EmploymentHandbook ExceptionHandbook Exception

Language ExamplesLanguage Examples This handbook is not an employment This handbook is not an employment

contract and does not alter the at-will contract and does not alter the at-will employment relationship between employment relationship between employer and employee.employer and employee.

This handbook is “a guide for working This handbook is “a guide for working rules, conditions, and wage scales rules, conditions, and wage scales relative to employment”relative to employment”

At-Will EmploymentAt-Will EmploymentHandbook ExceptionHandbook Exception

Language ExamplesLanguage Examples Intent of handbook is “to help guide and Intent of handbook is “to help guide and

instruct the employees to have a better instruct the employees to have a better understanding and knowledge of their understanding and knowledge of their employment”employment”

Handbook sets out “working rules and Handbook sets out “working rules and conditions that are a guide and may conditions that are a guide and may vary based on facts"vary based on facts"

At-Will EmploymentAt-Will EmploymentHandbook ExceptionHandbook Exception

Overriding PrincipleOverriding Principle Make sure the handbook contains Make sure the handbook contains

disclaimers stating there is no contract disclaimers stating there is no contract and reserving the right to deviate from and reserving the right to deviate from the policies stated in the handbook the policies stated in the handbook depending on particular circumstancesdepending on particular circumstances

At-Will EmploymentAt-Will EmploymentRetaliation ExceptionRetaliation Exception

Alabama law sets out an exception to Alabama law sets out an exception to the employment-at-will doctrine in the employment-at-will doctrine in workers’ compensation statute.workers’ compensation statute.

No employee shall be terminated by an No employee shall be terminated by an employer solely because the employee employer solely because the employee has instituted or maintained any action has instituted or maintained any action  against the employer to recover  against the employer to recover workers' compensation benefits….workers' compensation benefits….

At-Will EmploymentAt-Will EmploymentDiscrimination ExceptionDiscrimination Exception

Federal anti-discrimination laws, like Federal anti-discrimination laws, like the state workers’ compensation the state workers’ compensation statute, are exceptions to the at-will statute, are exceptions to the at-will employment doctrine.employment doctrine.

““Bad reason” cannot be based on Bad reason” cannot be based on discrimination or harassmentdiscrimination or harassment

At-Will EmploymentAt-Will EmploymentJury Service ExceptionJury Service Exception

Alabama law forbids firing employee for Alabama law forbids firing employee for serving on a jury. serving on a jury.

"No employer in this state may discharge any "No employer in this state may discharge any employee solely because he serves on any jury employee solely because he serves on any jury empanelled empanelled under any state or federal statuteunder any state or federal statute; ; provided, however, that the employee reports provided, however, that the employee reports for work on his next regularly scheduled hour for work on his next regularly scheduled hour after being dismissed from any jury."after being dismissed from any jury."

At-Will EmploymentAt-Will EmploymentWhistleblower ExceptionsWhistleblower Exceptions

Includes many federal lawsIncludes many federal laws OSHAOSHA Equal Pay ActEqual Pay Act FLSAFLSA FMLAFMLA www.whistleblowerlaws.com www.whistleblowerlaws.com

At-Will Employment In County Governments