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Termination of employment or separation of employment is an employee's departure from a job and the end of an employee's duration with an employer. Termination may be voluntary on the employee's part ( resignation ), or it may be at the hands of the employer, often in the form of dismissal (firing) or a layoff .
The Loudermill letter fulfills the requirement of (written) notice, and should include an explanation of the employer's evidence ("to act as a check for mistaken accusations"). To fulfill the remaining Due Process requirements, a Loudermill letter will also have to inform the employee of his opportunity for a Loudermill hearing .
Each employment contract contains a job description including the range of activities that an employee is reasonably expected to perform. Scope of employment often identifies demotion, transfer to different responsibilities, and modification or increasing current responsibilities. Travel and relocation can also be discussed in this section.
The term stems from Loudermill v.Cleveland Board of Education, in which the United States Supreme Court held that non-probationary civil servants had a property right to continued employment and such employment could not be denied to employees unless they were given an opportunity to hear and respond to the charges against them prior to being deprived of continued employment.
Implied contract: In some situations a court might find an implied contract of employment that restricts the employer's ability to terminate an employee without cause. For example, the terms of an employee manual may support an employee's claim that the employer must follow a defined disciplinary process prior to termination.
Most US states have adopted the at-will employment contract that allows the employer to dismiss employees without having to provide a justified reason for firing, although the variety of court cases that have come out of "at-will" dismissals have made such at-will contracts ambiguous. [6] Often, an at-will termination is handled as a "layoff".
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