Being terminated “for cause”, or for “good cause”, is a concept that many employers are familiar with, and it is a phrase that is commonly used in employment contracts and employee handbooks. Termination for cause is when an employer has sufficient reason to let an employee go. In the absence of these reasons, a firing is generally regarded as termination without cause. To fire an employee with cause, the action must result from either policy or ethics code misconduct or significantly poor performance. They consider the nature and extent of the misconduct, the context and surrounding circumstances and whether the termination or dismissal is warranted (in other words, whether the punishment fits the crime). In Canada, the courts use a contextual approach to determine whether an employee was terminated for just cause. Grounds for Termination. Termination for cause requires misconduct so severe that termination becomes the only reasonable alternative, such as if an employee engages in violence or theft. The termination or cancellation of a contract signifies the process whereby an end is put to whatever remains to be performed thereunder. The Importance of Defining “For Cause” Termination. The termination meeting is held with the employee, the employee's manager or supervisor, and a Human Resources representative. The parties can expressly state in the contract that the employer must have good cause to fire the employee or it can be implied from the agreement. For these purposes, “cause” means any grounds at common law for which an employer is entitled to dismiss an employee summarily without notice or compensation in lieu of notice. Termination for cause is usually immediate when an employer has gathered the needed documentation and evidence. Defining what constitutes “for cause” is one of the most fiercely negotiated terms in an employment contract. It is equally one of the most heavily litigated terms when it comes to for cause employment agreements. Termination may be, at will, for cause, or for lack of work. (b) Termination for Cause Procom may, at its option, terminate your employment immediately for cause, without prior written notice or compensation of any nature. Termination. Employee termination is the release of an employee against his or her will. Cessation; conclusion; end in time or existence. When used in connection with litigation, the term signifies the final determination of the action. Misconduct on the part of the employee results in termination for cause. The Fundamental Factor Underlying Termination for Cause For an employer to dismiss an employee without providing any notice or pay in lieu of notice, there must be proof that the employee has undermined the entire employment relationship such that the employment contract is considered to have been fundamentally breached. However, interestingly, the Texas Workforce Commission’s decision will often hinge on a different word: Misconduct. Termination for good cause puts the employee in a much better position than he would be under the Texas default rule of employment at-will. Termination for cause requires a set of circumstances that entitles employers to terminate an employee without the legal obligation to provide a notice period or termination compensation. The process is unavoidably painful: it imposes a certain degree of pain on the terminated employee, and the vast majority of people do not enjoy inflicting pain. Immediate Effects of Termination for Cause . 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