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Is California an at-will employment state?

Yes.

In California, the general rule is that an employer may terminate an employee at any time, for any non-illegal reason. And the employee can also quit at any time, without giving notice or cause.

Exceptions:

There are exceptions to this rule, including:

  • Implied contracts: If an employer's actions or words lead employees to reasonably believe they have job security beyond at-will, an implied contract may exist, limiting the employer's ability to fire at will. But this is hard to prove.

  • Implied covenant of good faith and fair dealing: California law implies a covenant of good faith and fair dealing in all employment contracts. This means the employer cannot fire an employee in bad faith. Again, this is hard to prove.

  • Discrimination and retaliation: Employers may not terminate employees based on narrowly defined discriminatory reasons (race, gender, age, etc.) or in retaliation for legally protected activities (like filing a discrimination complaint or opposing illegal discrimination).

  • Public-policy exceptions: An employer may not fire an employee for reasons that violate public policy, like refusing to engage in illegal activities, reporting illegal conduct, or exercising a legal right.

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