Guident Business Newsletter – Feb. 2013 – Issue 2

Employment-At-Will Status “A verbal contract isn’t worth the paper it’s written on.” -Samuel Goldwyn An “Employment-At-Will” statement helps your employees and anyone outside of your organization understand that employment with your company is voluntarily entered into by both the employee and the company. Employees are free to resign at any time and the company may terminate any employee at any time, with or without cause. That does not pertain if your company has a union contract and you are operating under that contract. It is important to establish this understanding within your organization’s employee handbook. Some organizations will use the term “employee handbook” and others will will use the term “employee manual.” I prefer the term “employee handbook” because in some instances the courts have tried to argue the term “manual” relates to having a contract. It will be important for your employees to understand that policies found within your company’s employee handbook are not intended to create a contract. Ensure they understand by beginning your employee handbook with your Employment-At-Will statement and by putting in writing that policies found within the employee handbook are not to be construed as a contractual obligation of any kind or to create a […]