Do employees have contracts with their employers?

: In one sense, employment relationships all have certain aspects of a traditional contract relationship.  If an employer verbally agrees to hire an employee at a specific rate and then refuses to pay it after the employee finishes the work, the employee can sue the employer under various contract or equitable theories. 

However, in Minnesota, employment is presumed to be on an at-will basis, which means employers can unilaterally terminate employment and change the terms and conditions of the working relationship on a prospective basis – including wages, benefits, and compensation – without liability for breach of contract.  Retroactive modification, however, would typically be a breach of contract and violate state wage and hour laws.

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