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What rights does an employer have?

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Quick Answer

Employers have the right to discipline or terminate employees for lack of productivity and for bad performance, as well as the right to terminate employees who set up competing businesses, advises Forbes. Employers also have the right to protect their trade secrets and other confidential information.

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What rights does an employer have?
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Full Answer

Employment law allows employers to take disciplinary action with employees who are not productive, and in many states, employers can require that employees work overtime, including on weekends and holidays, states Forbes. Employers who require overtime of non-exempt employees must give them overtime pay in order to stay within the law. Employers also have the right to administer progressive discipline to employees who do not meet work quality standards, employees who provide poor customer service, and employees who argue with supervisors or coworkers.

Employers also have the right to terminate employees who demonstrate a lack of loyalty by putting their own interests ahead of those of the company, advises Forbes. Employers can terminate employees who set up their own competing businesses, and employees who solicit business on their own behalf. Employers also have the right to protect information such as financial data, customer lists and strategic plans. In order to protect their rights in this area, employers must have employees sign confidentiality agreements that specify the information that is protected. Some states allow employers to protect their trade secrets and other proprietary information for a set period of time following an employee's termination.

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