Montana is the only state in the country that has rejected at-will employment by statute. The Wrongful Discharge from Employment Act (WDEA), codified at Mont. Code Ann. §§ 39-2-901 to 39-2-915, requires employers to have "good cause" for termination once an employee has completed the probationary period.
This is a structural difference. Where every other state starts from "the employer can fire you for any reason or no reason," Montana starts from "the employer must have a legitimate reason."
The rule, in plain terms
- Default rule: Employees who have completed their probationary period (typically six months, but can be set by the employer up to 12 months) may only be discharged for "good cause."
- Good cause defined: § 39-2-903 defines good cause as "reasonable job-related grounds for dismissal based on a failure to satisfactorily perform job duties, disruption of the employer's operation, or other legitimate business reason."
- Probationary period: During probation (default six months, employer may set up to 12), the employee is effectively at-will. After probation, the WDEA's good-cause rule applies.
- Public policy: Even during probation, an employer may not discharge for reasons that violate public policy (refusing to commit a crime, reporting illegal conduct, taking statutorily-protected leave).
- Express written employment contract: If the parties have an express written contract, the contract terms control — the WDEA does not override an at-will provision in a written contract.
- Remedies: Wages and fringe benefits for up to four years from the date of discharge (less interim earnings), plus reasonable attorney's fees and costs.
- Internal grievance procedures: If the employer has an internal grievance procedure, the employee must use it before suing. Failing to use it can be a defense.
Scripts to use
When fired after the probationary period:
"I have completed my probationary period of [N] months and have been employed since [date]. Under the Montana Wrongful Discharge from Employment Act (§§ 39-2-901–915), I am entitled to a written statement of the good cause supporting my termination. Please provide that statement within 14 days."
To invoke the public-policy exception during probation:
"I believe my discharge violates Montana public policy because I was terminated for [specific protected activity — refusing to commit a crime, reporting illegal conduct, exercising a statutory right]. Even within the probationary period, public-policy discharges are unlawful."
To trigger the grievance procedure:
"Per your employee handbook section [X], I am filing a formal grievance regarding my discharge on [date]. I request a hearing under the grievance procedure within the timeframe specified, and reserve all rights to pursue a WDEA claim upon completion of the procedure."
What to document
- Your start date and the end of your probationary period
- Your performance reviews and any written feedback
- The employer's stated reason for termination, in writing
- The employer's internal grievance procedure
- Any protected activity preceding the termination
- All written communications around the discharge
When to escalate
If you believe your discharge violates the WDEA:
- Complete the employer's internal grievance procedure if one exists — required before filing suit.
- File suit within one year of the date of discharge. The WDEA has a short statute of limitations.
- The WDEA permits arbitration if both parties agree; the employer may extend a written offer to arbitrate within 60 days of the employee's filing of a complaint.
- Consult a Montana employment attorney early. The WDEA is unique and most attorneys outside Montana are unfamiliar with it.
The WDEA fundamentally changes the negotiating posture in Montana. Severance offers and pre-termination conversations look different when both sides know the employer carries the burden of showing good cause for discharge.
Educational content only — not legal advice. Employment law varies by jurisdiction and situation. Consult a qualified employment attorney for advice specific to your circumstances.