What At-Will Employment really means for small business owners.
Show Notes Page: https://www.thehowofbusiness.com/594-claudia-stjohn-at-will-employment/
At-will employment gives small business owners flexibility, but misunderstandings around documentation, retaliation, and protected classes can quickly turn a termination into a lawsuit.
Most small business owners believe "at-will employment" means they can fire an employee at any time for any reason, but that misunderstanding is one of the fastest paths to an expensive legal dispute.
In this episode, Henry Lopez is joined by returning guest Claudia St. John, founder and CEO of The Workplace Advisors, to break down what at-will employment really means under U.S. law. They explain why at-will employment is not a free pass to terminate employees without consequences, and how common mistakes (like poor documentation, vague termination explanations, and retaliation) create legal risk even when the employer's decision was justified.
Claudia shares real-world examples from her HR consulting practice, emphasizing why documentation of performance issues is critical, how progressive discipline policies can accidentally undermine at-will status, and why honesty during termination conversations actually reduces lawsuits. As Claudia notes, "If an employee is surprised, they're far more likely to sue."
Henry and Claudia also discuss employee handbooks, offer letters, EPLI insurance, and when small businesses should consider professional HR support.
This episode is a must-listen for any business owner who manages employees and wants to reduce risk while still leading with fairness and professionalism.
Claudia St. John is a keynote speaker, bestselling author, and founder and CEO of The Workplace Advisors, a national HR consulting firm that helps small and mid-sized businesses navigate compliance, hiring, and employee management with practical, evidence-based guidance.
This episode is hosted by Henry Lopez. The How of Business podcast focuses on helping you start, run, grow and exit your small business. The How of Business is a top-rated podcast for small business owners and entrepreneurs. Find the best podcast, small business coaching, resources and trusted service partners for small business owners and entrepreneurs at our website https://TheHowOfBusiness.com