Your Rights

the right to have the employment relationship end for lawful reasons

In Texas, the employer-employee relationship is governed by the at-will doctrine. This means that most employees may be terminated at any time, for any reason, or for no reason at all. However, various exceptions may apply. For example, an employee may have entered into a contract that permits termination only under particular circumstances. Under a public policy exception, an employer may not discharge an employee for refusing to commit a criminal act. Similarly, an employer may not discharge or retaliate against an employee for filing a workers’ compensation claim. Further, an employer cannot retaliate or terminate an employee for activities under various federal and state laws, including laws prohibiting discrimination, offering protection to employees who take medical leave or complain about their pay, or laws offering protection to employees that engage in whistleblower activities.

What is a wrongful termination?

The term “wrongful termination” is used generally to describe circumstances where an employer has terminated an employee in violation of a statutory, public policy, or contractual reason. Specifically, under the employment-at-will doctrine, either the employer or employee may terminate the employment relationship at any time, with or without cause. To rebut the presumption of employment-at-will and establish a “wrongful termination” claim, an employee must prove that the employer’s right to terminate is limited by a federal or state statutory exception; a common law exception; or an employment contract.  

What is a Texas common law exception to the employment-at-will doctrine?

Texas courts have recognized a narrow exception to the employment-at-will doctrine called the Sabine Pilot doctrine (in reference to Sabine Pilot Serv. v. Hauck). Specifically, an at-will employee can sue his or her employer if the employee was fired solely because the employee refused to perform an illegal act. The key elements of a Sabine Pilot claim are (1) the plaintiff was an at-will employee; (2) the plaintiff refused to perform an illegal act; (3) the plaintiff was terminated solely because of the refusal. Notably, the “illegal” act must be one subject to criminal penalties.

What is a federal or state statutory exemption?

As discussed under the Retaliation and Whistleblower practice areas, many of the federal or state statutory exemptions to at-will employment are laws prohibiting discrimination, granting medical or disability rights, or protecting whistleblowers. Under Labor Code Section 451.001, Texas also prohibits an employer from retaliating against an employee for filing a workers’ compensation claim. This prohibition is intended to protect employees from being fired for receiving benefits they are entitled to under the law. In order to prove a workers’ compensation retaliation claim, an employee must show that they worked for an employer that subscribed to the Texas Workers’ Compensation Act and that, among other potential protected activities, filed a workers’ compensation claim.

What is an employment contract?

To prove an action for breach of an employment contract, an employee must first establish that there was an enforceable employment contract that restricts the employer’s right to terminate the plaintiff at-will. An agreement restricts the employer’s right to discharge if it lists conditions for the plaintiff’s discharge - typically described as “for cause.” Further, employment contracts often require the employer to provide notice before a discharge.

Examples of Possible wrongful termination

I made an internal report and was Terminated

You complained to your manager or to human resources about workplace discrimination or harassment based on your race, color, national origin, gender, or age. Afterwards, your employer terminated your employment. You believe that your internal complaint and termination are connected.

terminated for whistleblowing

You are a nurse at a hospital and you reported concerns about patients being exposed to risk of harm, failure to conform to professional standards, or staffing concerns. Soon after you were terminated from your employment. You believe that you were terminated because of your report.

terminated for using workers compensation

You were injured on the job and filed for workers’ compensation. You could tell that your manager was upset at you for getting injured and concerned you’d be missing work to go to doctor’s appointments. A few days later, your manager tells you that you are being terminated, but the reasons he provides do not make sense. He claims that you violated a policy. But you had never received a warning and you know that others have engaged in the same conduct without resulting in a discharge. You believe that you were terminated because of your workers’ compensation claim.

terminated for refusing to engage in illegal activity

Your supervisor asked you to falsify internal documents, and you know that doing so subjects you to criminal implications. You refuse to falsify the documents, but your manager tells you that if you do not follow her instructions, she will terminate you for insubordination. Again you refuse, and your supervisor terminates your employment. You do not believe it was fair for your supervisor to make you pick between being subjected to criminal penalties and your job.