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Hiring and dismissing employees in the US

US employment essentials: at-will employment and its exceptions, federal anti-discrimination law, the WARN Act, the absence of statutory severance, and state variation.

LG
The LawyerGo Team
· 7 min read
Hiring and dismissing employees in the US

US employment law is the mirror image of much of Europe, built around at-will employment — and heavily layered with state variation.

At-will employment

In nearly every state, employment is at-will: either side can end it at any time, for any reason or no reason, without notice or severance. (Montana is the notable exception.)

The exceptions that matter

At-will is bounded by important limits: you cannot dismiss for an unlawful reason — federal statutes like Title VII, the ADA and the ADEA prohibit discrimination and retaliation — and exceptions exist for public policy and implied contract.

Mass layoffs and severance

The federal WARN Act requires advance notice of large layoffs or plant closings. There is generally no statutory severance; any severance is contractual.

State variation

States diverge widely — California, for example, is far more protective on wages, leave and non-competes — so the state is decisive.

For foreign employers

"At-will" does not mean "no risk". A verified US colleague in the relevant state can keep a termination defensible.

State and federal rules change — confirm with admitted US counsel in that state.

LG
The LawyerGo Team
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