Hiring new talent, managing existing employees, and terminating those who aren’t able to perform up to expectations is a key part of managing your business. And to do this well, you’ll need to be familiar with the laws in Georgia surrounding at-will employment. Knowing what you can and cannot do when it comes to firing an employee or dealing with a resignation can help you manage your team more confidently.

The at-will employment laws, particularly the exceptions, can be complex. If you’re dealing with a challenging situation or have an employee who is threatening to sue for wrongful dismissal, the team at InPrime Legal can help you understand your legal obligations and provide a plan for moving forward.

What Does At-Will Employment Mean?

Georgia is an at-will employment state, which means that an employer can generally terminate a worker at any point and for any reason, as long as it’s not for reasons that would qualify as discrimination under federal law. This works both ways because the employee is also able to quit without any notice or reason.

Unless otherwise stated in the employment contract, at-will employment also allows the employer to make changes to the position without needing to provide notice. For example, a position could be reduced to part time instead of full time, benefits could be suspended or cut entirely, or there could be a pay cut.

Are There Any Exceptions to At-Will Employment?

It’s important to note that there are some key exceptions to at-will employment. For example, employers cannot terminate an employee if the reason for doing so was related to anything protected under Title 7 of the Civil Rights Act. These protected classes include race, color, sex, national origin, and religion. It’s also generally prohibited to terminate an employee because of a disability, unless that disability impacts them from being able to execute their job duties even with reasonable accommodation. Retaliatory termination is against the law, and employers also can’t fire women because they become pregnant.

Understanding when and how these exceptions apply can be challenging. It’s important to consult with an employment law attorney before making any hiring or firing decisions that could put the employer out of compliance with state or federal laws.

Keep in mind that the at-will employment laws don’t usually apply to independent contractors. If you have signed a contract with an independent contractor, you can generally only terminate the working relationship if they violated the contract in some way or if there are provisions to do so. For example, the contract may state that you have to give the contractor a certain amount of notice or pay a fee if you want to cancel it.

What Is an Implied Contract?

If an employment contract is used when hiring an employee, both the employee and the employer must hold to the terms of that contract or face potential penalties. Keep in mind that in the state of Georgia, implied and oral employment contracts are legally valid. For example, if your company has an employee handbook that outlines the disciplinary action policy and states that an employee will get three write-ups before being terminated, this would be an implied contract. The employer must follow that policy. Failure to do so could open your business up to a wrongful termination lawsuit.

Why Do I Need an Attorney

While operating in an at-will employment state can make it easier to make hiring and firing decisions for your business, it’s still important to be aware of the laws, exceptions, and potential consequences for violating those laws. An attorney can also review your employment contracts, including any items that might be considered an implied contract, to ensure that they reflect your interests and aren’t setting you up for potential issues or liabilities in the future.

If you need help understanding how the at-will employment laws apply to your business or aren’t sure what you need to do to terminate an employee, InPrime Legal can help. Call our office in Marietta at 770-282-8967. A member of our team will be happy to answer your questions and set you up with an appointment.