{"id":1719,"date":"2018-03-06T18:19:30","date_gmt":"2018-03-06T18:19:30","guid":{"rendered":"https:\/\/www.jacksonwhitelaw.com\/az-labor-employment-law\/?page_id=1719"},"modified":"2024-11-21T00:19:04","modified_gmt":"2024-11-21T00:19:04","slug":"employer-reason-termination","status":"publish","type":"post","link":"https:\/\/www.jacksonwhitelaw.com\/az-labor-employment-law\/blog\/employer-reason-termination\/","title":{"rendered":"Does an Employer Have to Give Reason for Termination?"},"content":{"rendered":"

Introduction<\/h2>\n

In every state except Montana, employment is considered \u201cat-will<\/a>.\u201d Under at-will employment law, employees have the right to quit at any time, for any reason, and employers have the right to terminate employees at any time, for any reason that isn\u2019t discriminatory or retaliatory. Employees are under no obligation to provide any notice or explanation for their quitting, and employers are given the same leeway. It\u2019s common for some companies to provide a \u201cservice letter\u201d when terminating employees, but employers are not required to give a reason for terminating an employee.<\/p>\n

Service letters<\/h2>\n

Service letters are issued by employers to document when and why an employee is terminated. Some states require service letters, but the state of Arizona does not. Some employers in Arizona elect to provide service letters, but the practice is entirely voluntary and is not required by state or federal law.<\/p>\n

Final paychecks<\/h2>\n

When an employee quits their job, the employer is required to issue their final paycheck on the next scheduled payday. Employees who are terminated or laid off should receive their final paycheck on the next scheduled payday or within seven days, whichever is sooner. Employers have the right to withhold any portion of the final paycheck that is subject to a reasonable dispute, as long as the action is taken in good faith, is not retaliatory, and is resolved as soon as possible.<\/p>\n

Reasonable disputes can include an employer\u2019s right to reimbursement for stolen property, damaged property, and misused business assets (e.g. paying for personal expenses with a company credit card). The employer is only allowed to withhold the portion of the final paycheck that corresponds to the disputed amount, though.<\/p>\n

Wrongful termination<\/h2>\n

While at-will employment laws give employers a lot of leeway when it comes to lawfully terminating an employee, there are a handful of circumstances that are prohibited by state and federal law. Specifically, there are four situations that qualify for wrongful termination:<\/p>\n