Make Sure Your Company Does Not Run Afoul of Anti-Discrimination Laws When Terminating Employees
No good person enjoys firing an employee. But, sometimes, it is something that must be done to move a company forward. Managers and business owners must take care that they do not violate employees' rights when terminating their employment. New laws and court decisions have expanded the rights of a former employee in wrongful discharge lawsuits against their former employers.
Probably one of the most common ways businesses get into trouble when they fire employees is when their motive for doing so is discriminatory. It never ceases to amaze me how otherwise smart and capable business owners and executives find themselves embroiled in serious litigation simply because they failed to heed Michigan or federal anti-discrimination laws.
I guess what amazes me the most is that these laws are not new! For many years, federal, state and local laws have protected individuals against discrimination on the basis of religion, race, national origin, sex, age and citizenship. Such protecting laws have expanded to include veteran status, marital status, pregnancy, medical condition, physical handicap and sexual preference. Both Michigan state and federal courts enforce these protections against discriminatory firing.
The "At-Will" employment doctrine does not protect a business from the legal consequences of making personnel decisions for illegal discriminatory reasons. If a business is going to terminate an employee who falls within a legally protected minority or group, the business must be able to show that the employee is being terminated for a legitimate business reason unrelated to inclusion in the group.
It is important for every serious business to establish a relationship with a lawyer who can provide advice and counsel to help assure that the company has legal grounds for firings. Otherwise, a business could find itself in the middle of an expensive and time-consuming lawsuit brought by employees who are either disgruntled or have a legitimate claim (or, even worse, both).
