At-Will Employment in Montana
Montana is the only US state that has rejected the at-will employment default. Under the Montana Wrongful Discharge from Employment Act (Mont. Code Ann. § 39-2-901 to 39-2-915), after a probationary period an employer may only discharge an employee for "good cause" — typically poor performance, misconduct, or legitimate business reasons.
Last reviewed against current law: 2026-05-14
How Montana law treats at-will employment
The Montana Wrongful Discharge from Employment Act (WDEA), enacted 1987 and updated in 2021, replaced the at-will default with a "good cause" standard for non-probationary employees. The default probationary period is 12 months unless the employer specifies otherwise in writing, with a cap of 12 months by statute.
After the probationary period ends, the employer may discharge only for good cause: "reasonable job-related grounds for dismissal based on a failure to satisfactorily perform job duties, disruption of the employer's operation, or other legitimate business reason." Discharging without good cause exposes the employer to up to four years of lost wages and benefits, plus reinstatement at the court's discretion.
The WDEA preempts most common-law wrongful-discharge claims, and binding arbitration of WDEA claims is generally enforceable under § 39-2-914.
Primary sources
Frequently asked questions — Montana
Is Montana really not an at-will state?▾
Correct. Since 1987, the WDEA has required good cause for discharge after the probationary period — making Montana the only US state that has displaced the at-will default by statute.
How long can a Montana probationary period be?▾
The statutory default is 12 months. An employer can specify a shorter period in writing but cannot exceed 12 months under the 2021 amendments.
What damages can a wrongfully discharged Montana employee recover?▾
Up to four years of lost wages and benefits, plus interest. Reinstatement is available at the court's discretion. Punitive damages require proof of actual fraud or actual malice.