Michigan Wrongful Discharge: At-Will Employment EXPLAINED

What is Wrongful Discharge in Michigan?

In Michigan, “wrongful discharge” means that your employer violated your legal rights when they fired you. But what does that mean in an “at-will” employment state like Michigan?

Michigan follows the “at-will” employment doctrine. In other words, you can leave your job at any time, for any reason, and your employer can fire you at any time, for any reason. However, there are exceptions to the “at-will” employment rule. You can’t be fired for an illegal reason.

Federal and state laws provide some protection to employees. For example, employers can’t fire you because of discrimination, retaliation, or breach of contract.

We’ll cover the details of Michigan’s wrongful discharge laws in this article.

Understanding At-Will Employment and Its Exceptions in Michigan

Like most states, Michigan is an “at-will” employment state. Unless there’s a specific agreement or law to the contrary, the default rule is that an employer can fire an employee for any reason — or no reason at all. It also means an employee can leave a job at any time, without providing a reason.

However, there are exceptions to the at-will employment doctrine.

Contractual Exceptions

If you have a written employment contract that says you can only be fired for cause, or that you’re entitled to a certain amount of notice, the terms of that contract will be enforced by Michigan courts. If you’re fired without the notice spelled out in your contract, that’s a breach of contract.

Public Policy Exceptions

Firing someone for a reason that violates a clearly established public policy is considered wrongful termination in Michigan. For example, if you’re fired for refusing to break the law, that’s a protected activity under Michigan law.

Types of Wrongful Termination in Michigan

While Michigan is an at-will employment state, there are several exceptions that can make a firing unlawful. Here are a few of the most common types of wrongful termination claims.

Discrimination

Both federal and state laws prohibit employers from discriminating against employees based on certain protected characteristics. Federal laws like Title VII of the Civil Rights Act protect against firing someone because of their race, color, national origin, religion, sex, age, disability, or genetic information.

Michigan’s Elliott-Larsen Civil Rights Act goes even further, offering broader protections against employment discrimination. Under this law, you can’t be fired for your race, color, religion, national origin, age, sex, height, weight, marital status, or disability.

For example, it would be discriminatory to fire a qualified employee simply because they are over the age of 40.

Retaliation

It’s also illegal for an employer to retaliate against an employee who has blown the whistle on illegal or unethical activity. This means that if you report harassment or safety violations, you are protected from being fired in retaliation for speaking up.

For instance, if you report unsafe working conditions to OSHA (the Occupational Safety and Health Administration), your employer can’t legally fire you for doing so.

Violation of Public Policy

Even in an at-will employment state like Michigan, there’s a public policy exception. This means that you can’t be fired for a reason that violates established public policy.

The Michigan Supreme Court has specifically recognized that a public policy claim for retaliation exists under both the federal Occupational Safety and Health Act and the Michigan Occupational Safety and Health Act.

An example of a termination that violates public policy would be firing an employee for serving on a jury when they’ve been summoned to do so.

Key Michigan Laws Protecting Employees from Wrongful Termination

Michigan has several laws in place to protect employees from being wrongfully fired. Here are some of the most important:

Elliott-Larsen Civil Rights Act

This act prohibits discrimination in employment based on religion, race, color, national origin, age, sex, height, weight, familial status, or marital status. If you’re fired for any of these reasons, it could be considered wrongful termination.

Michigan Whistleblowers’ Protection Act

This act protects employees who report suspected violations of the law by their employers. The act is intended to encourage employees to report illegal activity without fear of retaliation.

It’s important to know that the Michigan Whistleblowers’ Protection Act is the only legal remedy for wrongful termination under this act. The statute of limitations (the time you have to file a claim) is short: just 90 days from the date of termination.

Worker’s Disability Compensation Act

This act protects employees from being fired in retaliation for filing a worker’s compensation claim. If you’re injured on the job and file a claim for benefits, your employer can’t legally fire you for it.

Federal laws offering protection against wrongful termination

In addition to the protections offered under Michigan state law, several federal laws also shield employees from wrongful discharge. Here’s a rundown:

  • Title VII of the Civil Rights Act of 1964. This landmark legislation prohibits employers from discriminating against employees based on race, color, religion, sex, or national origin.
  • Age Discrimination in Employment Act (ADEA). The ADEA protects workers age 40 and older from discrimination based on their age.
  • Americans with Disabilities Act (ADA). The ADA prohibits discrimination against qualified individuals with disabilities.
  • Federal whistleblower protection laws. A number of federal laws protect whistleblowers in specific industries from being fired for reporting illegal or unethical activities. Keep in mind that the statute of limitations varies among these federal whistleblower statutes.

What to do if you think you’ve been wrongfully terminated in Michigan

If you believe you’ve been wrongfully discharged from your job in Michigan, here are some steps you can take to protect your rights:

  1. Document everything. Gather as much evidence as you can that relates to your termination. This includes your termination notice, your employment records, emails, and any other relevant communications.
  2. File a complaint. Depending on the circumstances, you may want to file a formal complaint with the Equal Employment Opportunity Commission (EEOC) or the Michigan Department of Civil Rights (MDCR). Keep in mind that there are strict deadlines for filing these complaints, so don’t delay.
  3. Seek legal advice. Talk to an experienced Michigan employment attorney as soon as possible. An attorney can review your case, advise you on your legal options, and help you navigate the complex legal process.

Frequently Asked Questions

What are three examples of a wrongful discharge?

Okay, here are some examples. First, firing an employee in retaliation for reporting illegal activity is a big no-no. Second, terminating someone based on discriminatory factors like race, religion, or gender is definitely wrongful. And finally, breaching an employment contract by firing someone without just cause when a contract requires it.

On what grounds could such a termination be considered a wrongful discharge?

A termination can be considered wrongful if it violates established public policy, for instance, if you were fired for refusing to break the law. It’s also wrongful if it breaches an implied or express contract, meaning the employer didn’t follow agreed-upon termination procedures. And of course, any termination based on discrimination is a slam-dunk for wrongful discharge.

What is the average settlement for wrongful termination in Michigan?

That’s a tricky one because it varies wildly. It depends on several factors, like lost wages, emotional distress, and the strength of the evidence. Settlements can range from a few thousand dollars to significantly more, but it’s impossible to give a precise average. Your best bet is to consult with an employment lawyer to discuss your specific case and its potential value.

In Summary

It’s vital to know your rights as an employee in Michigan. Although Michigan is an at-will employment state, several laws and court decisions offer protection against wrongful termination.

Remember that you can’t be fired for discriminatory reasons, in retaliation for reporting illegal activity, or for refusing to violate the law. Your employer must also honor any contractual agreements regarding termination.

Wrongful termination cases can be complex, especially in an at-will employment state. If you believe you have been wrongfully discharged, it’s crucial to seek legal counsel from an experienced employment attorney. They can evaluate your situation, advise you on your rights, and help you pursue justice.