Involuntary Terminations: New Mexico
Federal law and guidance on this subject should be reviewed together with this section.
- Employment is at-will in New Mexico unless the employee has an express or implied contract. If the employee has an express or implied contract, then the employer may not be able to involuntarily terminate the employee without establishing good cause for termination. See Termination for Cause.
- An employee may not be discharged for engaging in activities in furtherance of the Whistleblower Protection Act (WPA). Likewise, an employee may not be discharged for making a claim for benefits under the Workers' Compensation Act (WCA) or for disclosing information under the Fraud Against Taxpayers Act (FATA). See Limits on Involuntary Termination.
- Employees who are involuntarily terminated must receive their undisputed wages within a certain period of time after termination. Those employees must also receive all commissions within a certain period of time. Failure to make such payments may entitle the employee to recover wages and/or other compensation for a period of up to sixty (60) days following termination. See Payment of Wages Following Termination.