Under South Dakota law, employment is considered at-will, meaning that employee may quit – and an employer may terminate a worker – for any reason, or for no reason at all. There are four primary exceptions to this doctrine: (1) terminations that contravene public policy; (2) employees with express or implied “for-cause-only” agreements; (3) an employee who accepts employment upon the promise of a future promotion; and (4) terminations in violation of state or federal law. If an exception is applicable, a terminated employee may have a claim for wrongful termination against employer.
Public Policy Exception
This is implicated when the employer’s motivation for a discharge “contravenes some substantial public policy.” Public policy may be found in constitutional provisions, statutes, or case law. To date, the South Dakota Supreme Court has only recognized three types of terminations that violate public policy: retaliation for filing a worker’s compensation claim, for refusing to commit a crime, or for whistleblowing that “serves a public purpose.”
Express or Implied Agreements “For Cause Only”
An employer and employee may expressly contract around the at-will doctrine and agree that a termination will be for-cause-only. The parties may impliedly agree to a for-cause-only arrangement, but this is only found in the rare case when the employee handbook “contains a detailed list of exclusive grounds for employee discipline or discharge and a mandatory and specific procedure that the employer agrees to follow prior to any employee’s termination.”
Promise of Future Promotion
If an employee accepts a job because of the employer’s promise of a future promotion to a certain position, the at-will doctrine will not apply.
Statutory Protections
There are a host of state and federal laws protecting workers. Some such laws prohibit terminations based on an employee’s race, gender, religion, pregnancy, age, or disability; an employee’s opposition to an employment practice; or a military member’s call to active duty. The at-will doctrine will not shield terminations that otherwise violate federal or state law, such as those described above.
Reemployment Assistance (RA)
If a person is let go from a job, he or she may be eligible to collect Reemployment Assistance benefits through the South Dakota Department of Labor & Regulation, Reemployment Assistance Division. Current weekly benefit amounts range from $28 to $575, depending on the claimant’s previous wages. Information about RA Benefits can be found online at: https://dlr.sd.gov/ra/individuals/default.aspx.
State Resources
The South Dakota Department of Labor and Regulation has various resource material available online and may intervene in certain labor disputes. These resources can be found at: https://dlr.sd.gov/default.aspx and https://dlr.sd.gov/employment_laws/default.aspx.
Note: In regard to the preparation of this week’s column, the author would like to thank Attorney Sarah Baron Houy, and Claudia Baron for their assistance and input.
Anyone desiring to communicate with the Author, may do so by sending an e-mail to the author at rogermbaron@gmail.com
AUTHORITIES: Matta v. Dakota Provisions, 2024 S.D. 75, 15 N.W.3d 448; Aberle v. City of Aberdeen, 2006 S.D. 60, 718 N.W.2d 615; Dahl v. Combined Ins. Co., 621 N.W.2d 163 (S.D. 2001); Butterfield v. Citibank of South Dakota, N.A., 437 N.W.2d 857, 859 (S.D. 1989); Larson v. Kreiser’s, Inc., 427 N.W.2d 833 (S.D. 1988). SDCL §§ 60-4-4, 60-4-11, 20-13-10, 33-17-15. 42 U.S.C. §2000e et seq; 29 U.S.C. §§ 621, et seq; 42 U.S.C. §12101; 38 U.S.C. §2021(b).
Roger Baron is a guest columnist for the Rapid City Post. Opinions expressed may not necessarily represent the views of the Rapid City Post, its affiliates, or advertisers.
