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Download Now If an employee opposes an employer scheme that he or she thinks is illegal,
how can the employer tell whether its plan is shady enough to make it liable
for wrongful discharge if it fires that worker? A recent federal court decision
sheds some light on the issue.
What happened. Donald Acher, a senior sales manager at electronics manufacturer
Fujitsu, thought his boss, Doug Moore, would be on thin ice if he carried out
a plan to boost Fujitsu’s sales with Verizon, a big customer. Moore wanted
to sell Fujitsu’s Flashwave product to Verizon and have Verizon remove
or destroy similar products, manufactured by Fujitsu’s competitors, which
were already installed there. The destruction would have violated reliability
standards for the telecommunication industry, which, although developed by private
industry, had the force of federal law, Acher thought.
Acher expressed his opposition to the plan internally at Fujitsu and successfully
dissuaded management from making a proposal that called for the removal or destruction
of products manufactured by Fujitsu’s competitors. He talked Fujitsu out
of the plan, and the ultimate proposal to Verizon didn’t require removal
or destruction of competing products. Acher was terminated shortly thereafter,
though, for his opposition. He sued Fujitsu for wrongful termination in violation
of public policy.
What the court said. In Massachusetts, an at-will employee generally
can be fired for any reason or no reason at all, but one narrow exception to
that rule is a discharge that violates clearly established public policy. Reporting,
resisting, or refusing to participate in criminal activities, or those that
threaten public health and safety, are clear exceptions. But the harm or threat
to health or safety can’t be too remote or speculative.
Acher said that he was terminated for opposing the proposal that Verizon destroy
Fujitsu’s competitors’ equipment, and that if carried out, the plan
would have compromised telecommunications reliability standards. But the court
questioned whether the plan would have violated federal law, because it didn’t
implicate any criminal statute, and the potential harm to public safety was
unidentified. Also, Acher’s claim was flawed because Verizon had the ability
to evaluate the merits of the plan. And the alleged threat was not imminent,
or even close to realization.
The public policy exception, the court said, does not protect all employee
acts that are appropriate or socially desirable, nor does it extend to all acts
by an employee that are directed to illegal, unsafe, or unethical conduct. Acher
v. Fujitsu Network Communications, U.S. District Court, D. Mass., No. CIV.A.
03-12099-FDS (1/26/05).
Point to remember: In assessing similar situations in your workplace,
evaluate not only the clarity of the policy alleged to be violated but also
the imminence of the threat.