Notes
- All states in the United States are considered at-will, with the exception of Montana. If you operate in Montana, you will need to be certain that you are following your own described guidelines for disciplinary and termination processes.
- For anyone in Montana, these paragraphs should be eliminated.
- Including an “at-will” employment clause in your Employee Handbook does not completely protect your company from wrongful termination lawsuits. The concept of “at-will” employment should also be included in employment applications and offer letters. The employee should sign the employment application and/or employment offer letter, acknowledging the “at-will” employment relationship. We suggest applicants complete an employment application before being interviewed.
- Within your employment application should be an express statement that gives your company or a person acting on behalf of your company permission to call, research and otherwise verify references and past employment. Refer to the “Sample Offer Letter” and the “Employment Application” and “Reference Release” in the HR Forms folder.
- We also recommend that employers include language permitting the employer to transfer, demote, or otherwise discipline an employee at the employer’s discretion.
- Employers should realize that an “at-will” employment relationship does not give them the liberty to terminate, transfer, or demote an employee for unlawful reasons, such as age discrimination.
Sample / Example Employment At-Will Policy Template
All employees of the Company are employed “At Will.” This means that either the employee or the Company is free to end the employment relationship at any time, for any reason, with or without cause and with or without notice.
Positive performance evaluations, commendations, pay raises and longevity of employment, while desired objectives, do not alter the right of either the employee or the Company to terminate the employment relationship at any time, for any reason, with or without cause and with or without notice.
Nothing in this handbook or in any document or statement shall limit or modify the employment at-will status of [Company]’s employees.
No manager or employee of the company has the authority to enter into any agreement for employment for any specified period of time, to make any agreement for employment other than at-will, or to limit or modify any employee’s at-will status. Only [Owner/Founder] has the authority to make any such agreement and then, only in a formal written agreement, and with approval from the Board of Directors.
- Employment contracts are typically utilized only for key, top-level employees, if at all. The use of contracts is not recommended. Please seek legal counsel if your company has further questions.
No employee of [Company] can enter into an employment contract for a specified period of time, or make any agreement contrary to this policy without written approval from the [Owner/Founder] or the Board of Directors).
- This sample / example “Employment At-Will” policy template was excerpted from Employee Manual Builder workplace policies handbook software
