According to the chron.com article, “Compare U.S Labor Laws & European Labor Laws” by Gary White, in 2012, there were 19 strikes in the U.S. involving more than 1,000 employees and causing 148,000 workers to miss at least a day of work. In stark contrast, just on March 11, work stoppages occurred resulting in 29,000 lost days of production. It is possible that the U.S. has less of a problem compared to the UK in this area thanks to its wrongful discrimination laws. It might also be ahead when compared to other nations as well. Perhaps even more importantly, other factors play a role in this large discrepancy.

According to the article mentioned above, no employment contract is necessary in the U.S… Additionally, while it is required in the UK, notification of employment termination is not needed. More importantly, just because an employee “feels” like he or she has been wrong does not mean he can claim wrongful termination in the U.S. In contrast, an employee in the UK can claim wrongful termination solely on the grounds of a violated contract. According to the nola.com article, “Wrongful Termination: Was Your Firing Illegal?”, there are some instances where company policies are clearly in violation of federal and state mandates thereby making a wrongful termination case more obvious. Some examples of this are the requirements to take off time to vote, serve on a jury or take time off to report unlawful business conduct. Also, if a written or implied agreement was involved or if it can be demonstrated that there was a clear breach of good faith then a case is more likely to turn out in the employees’ favor. This being said, the fact that most employees in the U.S. are “at will”, not to mention the presence of statutes of limitations and other restricting variables makes a wrongful termination case more difficult to prove in the employees’ favor.

The UK is not the only country with “looser” standards when it comes to wrongful termination cases. According to the globalworkplaceinsider.com article, “Wrongful, Unreasonable and Unlawful Dismissals in Hong Kong” by Marie Kwok, there is a litany of reasons an employee can use as grounds for wrongful termination. Aside from the fact that there are signed employment contracts like the UK, it is unlawful for employers to fire employees if they are pregnant, on sick leave or due to activity in a trade union just to name a few.  When it comes to pregnant employees, a case fought in their favor may be more readily obtained internationally than in the U.S. According to the lexology.com article, “Top 10 employment law cases – International Women’s Day edition” by Rubin Tomlin, in Brooks vs. Canada Safeway Ltd., the Candian Supreme Court ruled that pregnancy discrimination was equivalent to sex discrimination. The U.S. has laws against firing pregnant employees as well but there are loopholes. For example, while the Pregnancy Discrimination Act of 1987 prohibits employers from firing demoting or refusing to hire pregnant women, it does not say that they cannot be treated as regular employees. According to the businessinsider.com article, “Here’s Why Employers Can Get Away With Firing Pregnant Women” By Vivian Giang, this means that if as part of a job description, lifting a 70-pound box is required, and pregnant women cannot pick it up then they can be fired. Still, the rules regarding this kind of situation are more obvious internationally than in America

On the surface of things, the difficulties associated with successfully suing for wrongful termination seem like they do more harm than good for the average employee. This fact may be having the opposite effect though. According to thestreet.com article, “Labor Strikes on the Decline” by Seth Fiegerman, the number of strikes involving 1,000 or more people has decreased to an average of 20 from between 80 and 90 in the 1980’s and 90’s. This decline can be attributed to the steady decline in union membership. In the 1940’s, a third of the workforce was a member of some union. By 2009, this number was reduced to 12.3%. These figures, in turn, suggest that people do not worry as much about wrongful termination suits or perhaps don’t even engage in them as frequently. For their part, employers do not wish to deal with employee lawsuits and for good reason too. According to the insurancejounral.com article, “What Are Chances a U.S Business Will Face an Employee Lawsuit?” by Andrew Simpson, the average amount a company spends defending itself comes out to $125,000. The median judgment on cases that make it to trial is $200,000 and one in four cases will have judgments exceeding $500,000. Even in the U.S. where it is more difficult to prove a wrongful termination case, this scenario is still a possibility. In 2012, for example, a PG&E employee won big. According to mercurynews.com, “PG&E Wins $1 million in Santa Cruz Wrongful Termination Lawsuit” by Stephen Baxter, Matthew Niswonger had worked for the company for eight years. One day his crew was asked to replace an electrical pole. The work involved coming within inches of live wires. Niswonger felt that the work was unsafe and filed a complaint. Shortly afterward, following a series of events he was fired. Consequently, Niswonger filled suit citing lost wages and emotional damages. The judge ended up siding with the employee and Niswonger was awarded $595,615 in lost wages and $500,000 in emotional damages. In addition, the verdict required PG&E to pay for Niswonger’s legal fees. A critical aspect in Niswonger’s case was his ability to show that his termination was largely a result of the safety complaint that was filed. This instance shows that while wrongful termination can be difficult to prove, an employee can still win a case and thus companies ought to remain mindful,

In summary, the U.S., when compared to other nations, has stricter wrongful termination procedures. As has been shown this is not necessarily a bad thing. This is not the only thing contributing to lower strikes and losses of productivity. Other factors such as cost and hassle also play an important role. As it turns out, wrongful termination should be viewed in all of its complexity for an accurate diagnosis to be made.

Author: George Day from Loyola School at New Orleans