Michigan Wrongful Termination Laws

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Gavel and Scales

Have you recently lost your job? If so, you might be wondering whether you have grounds for a wrongful termination lawsuit. In Michigan, as in other states, employees work at will. This means an employee can generally be fired at any time and for any reason, or for no reason at all.

But there are some exceptions to the at-will rule. If your Michigan employer fires you for discriminatory reasons, in violation of an employment contract, or in retaliation for exercising your rights, for example, you may have a legal claim against your employer for wrongful termination.

Every state’s laws on wrongful termination are different. This article covers some of the common legal grounds you might have for suing your employer in Michigan for wrongful termination. But it’s not a comprehensive list of Michigan employment rights, which can change as courts issue new rulings and legislators pass or modify laws. To find out the full extent of your legal claims, speak to an experienced Michigan employment lawyer. To learn more about Michigan employment law, contact the Michigan Department of Licensing and Regulatory Affairs, Wage and Hour Division.

Discriminatory Firing

Under federal law, it is illegal for an employer to fire an employee based on a protected characteristic. Federal law prohibits employers from firing employees based on race, color, national origin, sex, pregnancy, religion, age (if the employee is at least 40), disability, citizenship status, or genetic information. However, only employers with a minimum number of employees must comply with these laws. Most types of discrimination are prohibited once an employer has at least 15 employees. However, the minimum is 20 employees for age discrimination and four employees for discrimination based on citizenship status. 

Michigan law prohibits employment discrimination based on race, color, national origin, sex, religion, age, disability, HIV/AIDS, genetic information, marital status, height, weight, or misdemeanor criminal arrest record. Michigan employers, even those with only one employee, must comply with the state’s discrimination laws.   

These laws also make it illegal for an employer to retaliate against you for asserting your rights. For example, if you complain to your company’s HR department that you believe you were passed over for promotion because of your age, your employer may not discipline or fire you for your complaint. Likewise, your employer cannot fire you for participating in an investigation of a discrimination complaint (no matter who made the complaint), testifying in court, or making other efforts to stop discriminatory practices.

Before filing a discrimination or retaliation lawsuit, you must file a complaint with the appropriate government agency. In Michigan, the Michigan Department of Civil Rights enforces the state’s laws prohibiting discrimination; the Department has offices in Lansing and Detroit. In many cases, state fair employment practices agencies will record your complaint with the Equal Employment Opportunity Commission (EEOC), the agency that enforces federal antidiscrimination laws. However, you should check to make sure. If not, you may also have to file a complaint with the EEOC; you can find contact information for the nearest office at the EEOC’s Field Offices page

Breach of Contract

If you have an employment contract promising you job security, you may not be an at-will employee. In Michigan, an employment contract may be written, oral, or implied. In the first two types of contracts, your employer makes oral or written promises not to fire you for a certain period of time without good cause. In an implied contract, your employer acts in a way that creates a reasonable expectation that you would continue to be employed. For example, if your employer told you that you wouldn't be fired as long as you performed well, you may have an implied contract. If you have an employment contract, and your employer fires you without good cause, you have a legal claim for breach of contract.

Wage and Hour Issues

Employees in Michigan are entitled to a minimum wage of $8.15 an hour. Under federal and Michigan law, employees who work more than 40 hours a week are entitled to overtime. Although some states require employers to provide meal or rest breaks, Michigan is not one of them. However, under federal law, employers who choose to offer shorter breaks (20 minutes or less) must typically pay employees for that time. It is illegal for employers to fire an employee for testifying before the Wage Deviation Board (the agency that enforces state wage and hour laws) or for serving on the Wage Deviation Board.

Time Off Work

State and federal laws give employees the right to take time off work for certain civic obligations and personal responsibilities. Employers may not discipline or fire workers for exercising these rights. In Michigan, these rights include:

  • Military leave. Under federal law, employees have the right to take up to five years of leave to serve in the military, with the right to be reinstated when they return to work. (This law also prohibits discrimination against employees based on their military service, protects employees from discharge without good cause for up to one year after they return from military duty, and provides other protections; see Nolo’s article Taking Military Leave for more information.) Under Michigan law, members of the state or United States uniformed services who are called to active state or federal service are entitled to take unpaid leave. These employees also have the right to be reinstated to their previous positions if their service has been for less than five years, although there are various exceptions to this rule. Employees are also entitled to take time off to attend military encampment, drills, or instruction. Michigan employers may not discriminate against employees based on their military service, nor may an employer use threats to prevent employees from enlisting.
  • Jury duty. Employers must allow employees to take unpaid leave for jury duty, and may not require an employee to work following jury duty, if that would entail working overtime or beyond the employee’s usual quitting time. Employers may not threaten or discipline employees for jury service. Employers who fire or penalize employees for jury service may be subject to criminal penalties.to learn more about Michigan employment law, contact the Michigan Department of Licensing and Regulatory Affairs, Wage and Hour Division.
  • Voting. Employers may not fire or threaten to fire an employee for the purpose of influencing the employee's vote.
  • Family and medical leave. Michigan employees are protected by the federal Family Medical Leave Act (FMLA). The FMLA requires employers with 50 or more employees to provide eligible employees with up to 12 weeks off, unpaid, every year for the following reasons: to recover from a serious health condition, to care for a family member with a serious health condition, to care for a new child, or to handle certain practical matters arising out of a family member’s military service. Employees can take up to 26 weeks off in a single year to care for a family member who is seriously injured while serving in the military. Employees who take FMLA leave must be reinstated to the same position once their leave is over. To learn more, see the articles at Nolo’s FMLA page.  

Other State Claims

  • Workers' compensation. Employers may not retaliate against workers who file workers' compensation claims or otherwise assert their rights under workers' comp laws.
  • Workplace safety. Employers are prohibited from firing or retaliating against workers who report health and safety violations at the workplace.
  • Whistleblowing. Employers cannot fire employees who report, or intend to report, illegal activity on behalf of their employers. Employees cannot be fired for refusing to engage in illegal activity, either.

What to Do Next

If you think you were fired illegally, talk to a Michigan employment lawyer. A lawyer can help you sort through the facts and assess the strength of any claims you may have against your former employer. A lawyer can explain your options and help you protect your rights, whether you decide to try to get your job back, negotiate a severance package, or take your former employer to court.

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