What are the consequences of choosing the wrong references?

Employers have the right to give a bad job reference if they stick with the facts in doing so. Misrepresenting a former employee’s job history can result in a lawsuit. Yet, even workers who supply good references with their job applications may find they have to contend with negative feedback from former employers.

What information can a former employer give out?

As long as it’s truthful, your previous employer can legally disclose anything about you to a prospective employer, including your salary, vacation days you’ve taken, your job duties and times that you’ve received disciplinary counseling for absenteeism and tardiness.

Can you still get a job with a bad reference?

As long as it’s fair and accurate, a reference can show that you’re not suitable for a job. For example, a reference can show you do not have enough experience for a job or say that you were dismissed.

Is it illegal to not give a reference?

Busted. Unless your business is regulated by the Financial Services Authority, generally there is no legal obligation on an employer to provide a reference for an employee or ex-employee and you are entitled to refuse to provide one.

Can you sue a past employer for giving a bad reference?

The answer is yes! You can file a lawsuit against your former employer for giving out negative references about you. You can potentially sue for defamation. Your former employer must have known with certainty that these statements were false.

What happens if an employer fails to pay a settlement?

The employee’s normal recourse would be a breach of contract claim in respect of the payment obligation. However, if the employee’s waiver of claims is conditional on receipt of payment, late payment could have more serious consequences for the employer.

Can a company sue an employee for breach of contract?

There is contradictory case law on whether the employee can choose to sue for breach of contract or terminate the agreement, reviving previous claims (Johnson v Communications Associates Ltd ET Case No.29768/76) or whether the sole remedy is enforcement of the payment obligation (Kelly v Moran Transport Ltd ET Case No.1276/87).

Can a breach of non-compete be unenforceable?

Generally, overly broad non-competes will be unenforceable, while the narrower, upheld non-competes will only prevent the employee from soliciting or working with the former employer’s clients. Almost all of the successful cases included direct competition for clients and malicious action in behalf of the employee or new employer.

Can a new employer have to pay liquidated damages?

Because liquidated damages are part of the contract, the new employer will not have to pay liquidated damages unless they signed a contract directly with the former employer. Courts must decide whether a liquidated damages clause is reasonable before requiring a party to pay it. This amount can vary as well.