North Carolina Laws on Wrongful Dismissal or Termination
- North Carolina law prohibits employers from terminating employees in certain situations.Christine Balderas/Photodisc/Getty Images
Workers in North Carolina are of "at will" status under the law. This means either employee or employer can end the relationship at any time for any legal reason. However, there are specific situations in which your employer cannot terminate your employment. Generally, federal standards cover the employee in this instance, but North Carolina has additional regulations to prevent wrongful termination from a job. - Servicemembers returning from active duty in the North Carolina National Guard are protected from dismissal from their jobs. The law gives you the right for reinstatement in the same job, or a similar one, with the same employer. You must request reinstatement at your job in a timely manner after completion of service. Termination or demotion is illegal if you are returning to work after jury duty. Exercising your right to between 12 and 26 weeks of leave time under the federal Family Medical Leave Act (FMLA) cannot result in termination. Employees in the state working for companies with 50 or more workers fall under the FMLA time allowance. Employers with less than 50 workers provide amounts of time off at their discretion. In addition, state law allows employees a maximum of four hours per year of family leave for attending school functions without fear of termination. You are protected from dismissal for filing complaints or providing testimony against your employer in situations where unlawful activity is occurring. This is known as the federal whistleblower law; and includes complaints to the Occupational Safety and Health Administration. In accordance with federal law, the state prohibits discrimination, including termination, based on age, race, religion, gender, sexual orientation, disability or other health reasons.
- In addition to federal mandates, North Carolina imposes additional penalties on employers who illegally terminate an employee. If you are dismissed because of attending jury duty, your employer is liable for damages and is required to restore your employment. Employers are held accountable for dismissals resulting from the garnishment of wages for child support. Monetary fines against employers who fail to correctly withhold child-support payments from a worker's wage range from $100 to $1,000 depending on the amount of offenses. In addition, an employer can face contempt of court charges for improper garnishments. If terminated under the whistleblower law, state regulations allow for damage amounts payable to you of three times your legal costs plus attorney fees.
- Employees who suspect they have been wrongfully terminated should first contact the state's labor department. North Carolina does not have a statute of limitations on claims of wrongful termination. The appropriate state agency will investigate your claim and determine a course of action. In most cases where a violation is found, the state attempts mediation to avoid a court case. If your employer and the state cannot agree on a remedy, North Carolina will initiate a lawsuit on your behalf to settle the matter.
