Violation of Company Policy: When Employers Don’t Follow Their Own Rules

Most companies have policies and procedures designed to ensure fairness and consistency in the workplace. These rules are often outlined in employee handbooks, codes of conduct, or internal guidelines. But what happens when an employer violates its own policies—especially when it results in an employee’s termination? Can this be considered wrongful termination?

In Maryland, employment is generally “at-will,” meaning an employer can fire an employee at any time for almost any reason. However, if an employer fails to follow its own disciplinary procedures or selectively enforces policies to target a particular employee, it may be grounds for a wrongful termination claim.

In this article, we’ll explore how a company’s failure to follow its own rules can lead to wrongful termination claims, what legal protections exist, and how to protect yourself if you’re facing this situation.

At-Will Employment vs. Employer Policies

Maryland is an at-will employment state. This means that, in most cases, an employer can terminate an employee for any reason—or no reason—unless that reason is illegal (such as discrimination or retaliation).

However, company policies, handbooks, and procedures can sometimes create implied contracts between an employer and employee. While many handbooks include disclaimers stating they are not contracts, courts in Maryland have recognized that if an employer establishes clear disciplinary procedures, and an employee relies on those policies, the employer may be obligated to follow them.

For example, if a company policy outlines a progressive discipline process—such as a verbal warning, followed by a written warning, and then possible termination—but fires an employee without following this process, the termination could be challenged as wrongful.

How Employers Violate Their Own Policies

Employers sometimes pick and choose when to enforce their policies. When this selective enforcement results in unfair treatment, it can form the basis of a wrongful termination claim. Common ways employers violate their own policies include:

1. Skipping Progressive Discipline Steps

Many companies have procedures that require a sequence of warnings or corrective actions before termination. If an employer skips these steps and fires an employee without warning, it may be violating its own rules.

2. Applying Policies Unequally

If an employer enforces a policy strictly against one employee while ignoring violations by others, this unequal treatment could be evidence of discrimination or retaliation.

3. Creating “Paper Trails” After the Fact

Sometimes, employers will fabricate or exaggerate policy violations to justify a termination after deciding to fire an employee. This is often done to cover up illegal motives like retaliation or discrimination.

4. Failing to Investigate Complaints

Many handbooks contain grievance procedures for reporting harassment, discrimination, or safety concerns. If an employer fails to investigate a legitimate complaint and instead retaliates against the employee who reported it, that can be grounds for a wrongful termination claim.

When Policy Violations Can Lead to Wrongful Termination Claims

Not every policy violation by an employer leads to a wrongful termination claim. However, the following factors strengthen a claim:

• The employer has a clear policy or procedure that was not followed.
  
• The employee had a reasonable expectation that the policy would be enforced.
  
• The policy was applied inconsistently to different employees.
  
• The employer’s actions appear to be retaliatory or discriminatory.
  
• The employee was fired shortly after reporting illegal or unethical behavior.
  

In such cases, the employer’s failure to follow its own policies can be used as evidence to support a wrongful termination claim.

Legal Protections for Employees

In Maryland, wrongful termination claims based on company policy violations often fall under two categories:

1. Breach of Implied Contract: Even if no formal contract exists, courts may find an implied contract if an employer promises to follow certain procedures and the employee relies on those promises.
   
2. Wrongful Discharge in Violation of Public Policy: If the termination relates to an illegal reason, such as discrimination or retaliation, the employer’s policy violations strengthen the claim.
   

Additionally, federal laws like Title VII of the Civil Rights Act, the Americans with Disabilities Act (ADA), and Maryland state laws protect employees from discriminatory or retaliatory firings. If a policy is selectively enforced against an employee based on race, gender, age, disability, or because they reported illegal conduct, it can form the basis of a wrongful termination lawsuit.

An experienced wrongful termination attorney DC can review your case and determine the best legal strategy based on your employer’s actions and failure to follow internal policies.

How to Protect Yourself if Your Employer Violates Its Own Policies

If you believe your employer has not followed its own rules and you’re being targeted for termination, here are steps you should take:

1. Gather Documentation: Keep copies of the employee handbook, company policies, and any written warnings or performance reviews.
   
2. Document Policy Violations: Maintain a record of instances where the employer failed to follow procedures, skipped steps, or treated you differently than others.
   
3. Save Correspondence: Keep emails, texts, or memos related to your termination or disciplinary process.
   
4. Identify Witnesses: If coworkers observed unequal treatment or policy violations, their statements could support your case.
   
5. Consult an Attorney: Before resigning or signing any severance agreement, speak with a wrongful termination lawyer to understand your rights and next steps.
   

Remedies for Wrongful Termination

If you successfully prove that your employer wrongfully terminated you by violating its own policies, you may be entitled to:

• Reinstatement to your job.
  
• Back pay for lost wages.
  
• Compensation for emotional distress.
  
• Coverage of legal fees and court costs.
  
• In some cases, punitive damages.
  

Conclusion

While at-will employment gives employers significant flexibility, they cannot fire employees in violation of their own established policies, especially when it results in unequal treatment or is used as a cover for illegal motives. If you believe you were fired unfairly because your employer failed to follow its own rules, it’s important to act quickly.

Consulting a knowledgeable wrongful termination attorney DC can help you protect your rights, hold your employer accountable, and seek the compensation you deserve.