Can a vice president of a publicly traded firm create a job for a friend?

UPDATED: Jun 15, 2011

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UPDATED: Jun 15, 2011Fact Checked

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Can a vice president of a publicly traded firm create a job for a friend?

Can this vice president re-hire a terminated employee who is their friend? Can they post jobs outside of the company first without notifying any internal employees? Can they force you to participate in any activity not related to your job? Does a 500 Fortune Company have to post employment and labor laws?

Asked on June 15, 2011 under Employment Labor Law, Connecticut


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

There are NO laws about who a company may hire (other than laws banning certain forms of discrimination, such as against a race, religion, sex, etc.). A company may rehire terminated employees, hire a manager's friend, hire without offering existing employees the opportunity, etc.; they may also ask an employee to do things not connected ostensiby to the job (so long as the employee is paid for doing so), etc. There are many things which may be unfair, or even immoral or unethical, but which are not illegal, and employers have near total discretion in hiring and in defining employee duties.

(Note: if there is a collective bargaining or union agreement covering the position in question, that may be a different issue--union contracts and their terms are enforceable.)

There are certain laws and regulations which must be posted by all companies, regardless of size--you can find these from your state and federal departments of labor.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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