Certified Payroll Professional Test 2025 – 400 Free Practice Questions to Pass the Exam

Question: 1 / 400

Which statement best describes the term “termination at will”?

Employees can only be terminated for just cause

Employers can terminate employees for convenience, so long as it’s not discriminatory

Termination at will refers to the legal principle that allows employers to terminate employees for any reason, except for reasons that may be unlawful, such as discrimination based on race, gender, or other protected classes. This means that as long as the termination does not violate specific labor laws or contractual agreements, employers have the right to dismiss an employee for convenience.

This concept supports the flexibility of the employer to make personnel decisions based on their business needs and allows for a dynamic workforce. It contrasts sharply with options that define termination as needing just cause or being bound by fixed contracts, which do not align with the principle of at-will employment. Additionally, the aspect of severance pay is not inherent to at-will employment; such benefits depend on workplace policies and may vary among employers. Thus, the statement that best encapsulates the essence of termination at will is one that emphasizes that employers can terminate employees conveniently as long as it does not involve discrimination.

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Employees are entitled to severance pay upon termination

Employees work with fixed contracts that dictate tenure

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