A termination that violates state or federal law — typically due to discrimination, retaliation, or public-policy violations.
Most US employment is "at-will" — meaning either party can end the relationship at any time, for any (legal) reason or no reason. Wrongful termination claims arise when a termination violates specific legal protections: discrimination based on protected class (race, sex, age, religion, disability, national origin, etc.), retaliation for protected activity (whistleblowing, requesting accommodation, filing a complaint), or public policy violations (firing someone for jury duty, refusing illegal activity).
Montana is the only state without at-will employment — the Wrongful Discharge from Employment Act creates statutory protections after a probationary period.
PEOs typically provide HR advisor consultation on termination decisions before the action — helping document business reasons, ensuring procedural fairness, and reducing wrongful termination exposure. This consultation is one of the highest-value HR services in the PEO bundle.
A termination that violates state or federal law — typically due to discrimination, retaliation, or public-policy violations.
Most US employment is "at-will" — meaning either party can end the relationship at any time, for any (legal) reason or no reason.
Most PEO buying decisions touch several related concepts at once. Wrongful termination typically comes up alongside the other terms in this category. Closely related terms include Employment Practices Liability Insurance (EPLI), Fair Labor Standards Act (FLSA).
This is one entry from our PEO glossary covering payroll, benefits, workers comp, HR compliance, and PEO mechanics. Browse all terms.
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