Chapter 15 Vocabulary

Implied Contract

A contract that exists when an employer has said, written, or done something to lead an employee to reasonably believe that he or she is not an at-will employee.

Social Security

A government program that provides continuing income to workers and their dependents when their earnings stop or are reduced because of retirement, disability, or death.

Implied Covenant

A legal argument that holds that any employment relationship is based on an implied promise that the employer and the employee will be fair and honest with one another.

Public Policy Tort

A legal theory that permits a discharged employee to bring a wrongful discharge lawsuit against a former employer based on the argument that the firing somehow hurts the public at large.

Collective Bargaining

A process in which union and management representatives get together to work out issues such as wages, working conditions, and hiring and firing policies.

Pension Plan

A program established by an employer or a union to provide income to employees after they retire.

Equal Pay Rule

A standard that states that employers working in interstate commerce must pay women the same rate of pay as men holding the same type of job.

Unemployment Compensation

A system of government payments to people who are out of work and looking for a job.

Employment-at-Will

An employer or employee can end an employment relationship at any time, for any reason or for no reason, with or without notice.

Workers' Compensation

An insurance program that provides income for workers who are injured on the job or develop a disability or disease as a result of their job.

Union

An organization of employees formed to promote the welfare of its members.

Occupational Safety and Health Administration (OSHA)

The federal government agency that regulates health and safety standards for companies in the United States.

Discrimination

The unequal treatment of individuals based on sex, age race, nationality, or religion.

Disparate Impact

When an employer has an employment policy that appears neutral on the surface but has an unfair impact on members of a protected class.

Disparate Treatment

When an employer intentionally discriminates against an individual or a group of individuals belonging to a protected class.