Be careful what you say about terminated employees

Employers often must decide how to respond when asked about former employees. Questions about employees who have been fired can be particularly troublesome for public-sector employers, which, unlike private-sector employers, are subject to constitutional claims. A recent decision by the U.S. Court of Appeals for the 8th Circuit (whose rulings apply to employers in Arkansas and Missouri) is a good example for all employers about why you should remain circumspect when discussing former employees.

Background facts

Julia Correia worked as the coordinator of the Center for Language Proficiency at Henderson State University. Each year, she entered into a year-long employment contract. In May 2014, Henderson's board of trustees passed a budget that included Correia's name, title, and position. However, in June 2014, Glenn Jones, the president of the university, received a whistleblower tip alleging mismanagement at the center.

As a result of the tip, Arkansas's Legislative Joint Auditing Committee (LJAC) conducted a formal audit of the center. Correia was placed on paid administrative leave on July 7. In October, Henderson closed the center, and Correia's contract was not renewed.