EAW, Public Policy, Contract Law - Sample Questions and Answers | LAW 4053, Exams of Labour Law

Download EAW, Public Policy, Contract Law - Sample Questions and Answers | LAW 4053 and more Exams Labour Law in PDF only on Docsity! Test #1 – Sample question and answer Chapter 2 question Question: John recently left the employ of Tech Industries in south Arkansas to work for Consolidated Manufacturing in Jonesboro. John made the job switch for a higher salary and the offer of more job security. (Consolidated Manufacturing had a handbook statement as follows: “We believe in working and planning to provide a stable and growing business, to give such service to our customers that we may provide maximum job security for our employees.”) John’s supervisor, Roger, evaluated John’s performance as superior during John’s first three months at Consolidated. One morning at work, Roger approached John about a theft of company property. Apparently a co- worker had lied, telling company officials that John had been involved in the theft. (John had neither knowledge of, nor involvement in, the theft.) Based on the co-worker’s statement alone, Roger fired John. Was John wrongfully discharged? Analyze whether John has a valid claim under Arkansas law, discussing wrongful discharge under both public policy (tort law) and contract principles. Use the following headings for your answer: A. Employment-at-will B. Wrongful discharge in violation of public policy (tort law) C. Wrongful discharge, contract law (express/implied) Sample Answer: A. EAW - Regarding the employment relationship in Arkansas, the at-will rule provides that employees (including John in this question) can be fired at any time, without reason or notice. This rule is found in several cases in the textbook, including the quote from Smith v. American Greetings, page 19. Under EAW, unless otherwise agreed between the parties, John can be fired for a good or bad reason, at any time. Applying the rule here, John’s dismissal was legally appropriate, even though the information relied upon by Consolidated was erroneous. Arkansas law does provide for limits on the at-will rule, including tort and contract exceptions to at-will employment. B. Public Policy -- Was John’s firing in violation of Arkansas public policy? Applicable Law – In Arkansas, public policy concerns what is right and just and affects the citizens of the state collectively (page 22 of the textbook). Regarding a discharge, public policy has been contravened when the reason alleged to be the basis for a discharge is so repugnant to the general good as to deserve the label “against public policy.” In Smith, page 23, the court stated that under public policy there are at least four exceptions to the at-will doctrine: (1) cases in which the employee is discharged for refusing to violate a criminal statute; (2) cases in which the employee is discharged for exercising a statutory right; (3) cases in which the employee is discharged for complying with a statutory duty; and (4) cases in which employees are discharged in violation of the general public policy of the state. Analysis – Nothing appears to indicate John was fired in a manner that violates public policy. John’s firing does not appear to involve the public good or general public policy of Arkansas, but only John’s personal interests. He was not discharged for a refusal to violate a criminal statute, for exercising a statutory right, or for complying with a statutory duty, all examples of public policy.