Nearly every state in the U.S. recognizes the at-will employment doctrine, except for Montana. However, a new law taking effect in California on January 1, 2024, erodes the at-will doctrine even more, and when coupled with the ever increasing list of protected activities that employers may not rely upon for employment decisions (which in 2024 will include the right to smoke marijuana), it raises the question of whether California is still practically an at-will state?
1. The employment “at-will” doctrine
Under California law, it is presumed that all employment is terminable at-will. California Labor Code section 2922 provides: “An employment, having no specified term, may be terminated at the will of either party on notice to the other.” The at-will doctrine means that the employment relationship can be terminated by either party at any time, with or without cause, and with or without advanced notice.
Generally, California law recognizes that employers and employees may, at any time, and for any legal reason, terminate the employment relationship. However, as explained below, the at-will doctrine in California has so many exceptions, and with the passage of SB 497, it is hard to argue that California is an at-will employment state.
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