Implied Contract Case Study

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Register to read the introduction… An implied contract may be created in several different ways. Oral assurances by a supervisor or employer representative (e.g., “We need good people around here, you’ve got a job for life!” or “We don’t dismiss employees without giving them a chance to correct their behavior.”) may give rise to an implied contract. Likewise, the employer’s handbooks, policies, practices or other written assurances may create an implied contract.
As a manager and supervisor of an accounting department, discussing the following issues related to the employment-at-will doctrine and liability of an employer based on actions and responses to the employee’s behavior and actions. Jennifer, a recent graduate, has recently been hired by your accounting firm out of college. Upon being hired, she engages in a number of different behaviors that need your attention.
1. Describe what steps you would take to address the following scenario involving skills, competence, and
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Her gross misconduct clearly tells you that she does not respect you. Sometimes, an at-will employee will refuse to sign any documentation, because it's the only published source that obviously gives you proper procedures for terminating difficult employees. At will employment; however, does not allow you to dismiss someone because they are disabled. The documentation should detail exactly what happened and why this was against the rules, and it should set up a time for the employee to meet with you. Allow the employee to bring representation to the meeting, by law you must let her invite someone.
4. Describe what steps you would take to address the following scenario involving policies and
The employee’s supervisor consistently asks her out on dates; the employee initially
Refuses to go out on a date with her supervisor. The employee later discusses the issue with her girlfriend who encourages her to accept his offers. During her new employee
Orientation, the employee was informed of the company policy which prevented employees from dating their supervisor and was given an employee handbook with the
Written policy. The employee and her supervisor later begin having a

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