California is an "At-Will" employment state. That generally means either party can terminate the contract at any time. In reality, there are still some rules that companies need to abide by before they are allowed to let a worker go. If an employee violates one of the rules written in the employee handbook, it's a pretty open and shut case. Layoffs are also legal reasons to terminate someones employment.
There are still some cases that do not fit within those neat little guidelines. One of those situations is considered retaliation against an employee. Sometimes an employee will discover that his or her company is doing something illegal. Or, in some cases, bring some harmful information to light. The company should look at this as a positive move by the employee. After all, if the company is doing something wrong, they should do everything they can to correct it. If instead, they fire that employee that blew the whistle on them, there could be a case of wrongful termination.
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