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What is wrongful termination in New York?

Federal & State Law Editorial TeamLast reviewed: 2026-05-02

New York is among the strictest at-will states in terms of common-law remedies, but its statutory protections — especially the NYC HRL — are exceptionally broad.

1. At-Will Default

Martin v. New York Life Ins. Co., 148 N.Y. 117 (1895), established at-will employment. Reaffirmed in modern times.

2. No Public Policy Tort

Murphy v. American Home Products Corp., 58 N.Y.2d 293 (1983), squarely rejected a common-law wrongful discharge tort. Plaintiffs must rely on statute or contract.

3. No Implied Contract from Handbook

Sabetay v. Sterling Drug, 69 N.Y.2d 329 (1987), held that handbook language alone does not create an implied contract; the employee must show express written assurance, justifiable reliance, and detrimental reliance (Weiner test).

4. New York State Human Rights Law — Exec. Law § 296

Prohibits termination based on age (18+), race, creed, color, national origin, sexual orientation, gender identity, military status, sex, disability, predisposing genetic characteristics, familial status, marital status, or domestic violence victim status. Applies to all employers (no minimum size after 2020 amendments). File with NY Division of Human Rights within 3 years (extended from 1 year in 2019).

5. New York City Human Rights Law — NYC Admin. Code § 8-107

The most plaintiff-friendly anti-discrimination law in the country. Construes its provisions "broadly" and includes additional protected classes (caregiver status, height, weight (effective 2023), credit history, arrest/conviction record). 3-year SOL.

6. Whistleblower — Labor Law § 740

Substantially expanded effective January 26, 2022 to protect employees who reasonably believe they are reporting actual violations of law (no longer requires proof of an actual violation). 2-year SOL. Recovery includes injunctive relief, back pay, front pay, compensatory damages, and attorney's fees.

7. Workers' Comp Retaliation — Workers' Comp Law § 120

Prohibits retaliation for filing a comp claim.

8. WARN Act — NY Lab. Law § 860

Requires 90-day notice for mass layoffs/plant closings (longer than federal 60-day WARN).

9. Statute of Limitations

  • NYSHRL: 3 years.
  • NYCHRL: 3 years.
  • Labor Law § 740: 2 years.
  • This is legal information, not legal advice.

    When to Talk to a Lawyer
    • You work in NYC and may have a stronger NYCHRL claim than under state or federal law
    • You blew the whistle and need to leverage the expanded 2022 § 740 protections
    • Your termination may trigger NY WARN Act severance
    Related Statutes & Laws
    • N.Y. Exec. Law § 296
    • N.Y. Lab. Law § 740
    • N.Y. Workers' Comp. Law § 120
    • N.Y. Lab. Law § 860
    • NYC Admin. Code § 8-107

    This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.