Employment terminations in Connecticut can be categorized as either voluntary or involuntary. Voluntary terminations are initiated by the employee, while involuntary ones are initiated by the employer. Involuntary terminations might result from poor performance or breach of company policies, leading to the employee being let go, or they might occur due to workforce reduction, layoff, or company restructuring.
Voluntary Termination
Typically, in a voluntary termination, an employee provides the employer with a notice of resignation, generally around two weeks in advance. Upon receiving this notice, the employer may offer a counter-offer or simply accept the resignation. If the resignation is accepted, the employer must decide if the employee should remain working through the notice period. Generally, employees who resign voluntarily may not qualify for unemployment benefits. Nonetheless, if an employer prevents an employee from working (and being paid) during their notice period, it might be considered an involuntary termination, potentially making the employee eligible for unemployment benefits.
Involuntary Termination
Involuntary termination occurs when an employer dismisses or lays off an employee. Most employees are considered "at-will," meaning their employment can be terminated by the employer for various reasons. According to Connecticut and New York law, employers are required to provide employees with written notice of termination.
The Connecticut Department of Labor mandates that employers issue a signed and completed unemployment notice and employee information packet "immediately" when an employee is laid off or separated from employment. These packets must be provided regardless of the nature of the separation or the employer's adherence to state unemployment law. The notice requires details such as the employer’s registration number, employee’s employment dates, and earnings, along with the reason for unemployment, which can be classified as "lack of work," "voluntary leaving," "discharge/suspension," "leave of absence," or "other.”
According to New York State Labor Law §195, employers must provide terminated employees with written notice of the termination date and cancellation date of employee benefits associated with the termination no later than five working days after the termination. If an employer fails to notify about the cancellation of benefits like health insurance, they may face penalties.
Connecticut acknowledges three exceptions to the "at-will" employment doctrine: 1) The termination must not contravene public policy; 2) The termination must not violate an implied contract of employment if one exists; and 3) The termination must not breach any state or federal laws, which cover laws against discrimination. As covered in prior sections of this guide, terms based on race, color, religion, age, disability, national origin, sexual orientation, or gender are prohibited. Additionally, employees cannot be terminated for taking leave as per the Family Leave Act or for whistleblowing against illegal activities.
In New York, barring any constitutional, statutory, or express contract prohibition, employers retain the right to terminate "at-will" employment. However, exceptions exist, such as the "handbook exception," "professional exception," and "whistleblower exception." An employer cannot legally dismiss an employee as retaliation for reporting discrimination or harassment at work; such reports are safeguarded under state and federal law.
Union members often have prescribed terms for termination listed in their collective bargaining agreements. Generally, these agreements stipulate that termination must be for "cause," as defined within the agreement itself. Union members who face termination should consult their union representative to assess potential challenges to the termination.
Employment contracts with specific terms for termination should clearly list these terms. In cases without formal written contracts, implied contracts may arise through employer conduct. Under Connecticut law, to be enforceable, an employment contract must specify an employment expiration date; otherwise, the employee may be deemed "at-will." Termination in breach of an employment contract can lead to a breach of contract claim in either Connecticut or New York state courts. Written contract claims must be initiated within six years, while oral contract claims must be filed within three years.
Contact Us
If you have any questions regarding employment termination in Connecticut, or wish to consult an attorney regarding a legal matter, please contact Joseph C. Maya and the attorneys at Maya Murphy, P.C. at (203) 221-3100 or Jmaya@mayalaw.com to arrange a free initial consultation.
