Texas follows the at-will employment doctrine. This means that in the absence of a specific contract stating otherwise, an employer can generally terminate an employee for any reason that is not illegal, and an employee can quit for any reason, at any time. No notice or justification is legally required from either party.
This legal framework provides flexibility for both employers and employees. Businesses can adjust their workforce quickly to meet changing market demands. Conversely, employees are not bound to a position indefinitely if a better opportunity arises. However, the at-will doctrine has important limitations. Federal and state laws prohibit discriminatory termination based on protected characteristics like race, religion, gender, age, or disability. Furthermore, Texas courts have recognized some exceptions to at-will employment, such as implied contracts based on employer policies or promises. The historical basis for this doctrine is rooted in common law principles of contract freedom.