By: Ethan Betterton, Vice President of Government Relations, Virginia Chamber of Commerce
Few terms in labor law are more commonly confused and conflated than “right-to-work” and “at-will employment.” The confusion is understandable—they sound similar and are used in conversations about labor and employment law. But they are fundamentally different concepts. At-will employment concerns how employers and employees can go their separate ways; right-to-work is strictly concerned with organizational membership fees. In Virginia, both doctrines apply.
At-Will Employment
At-will employment is the default rule for employment agreements in 49 of 50 states (Montana being the outlier). Under the at-will employment doctrine, either party in the employment relationship—employer and employee—can end the relationship at any time without legal consequences in most circumstances.
To be sure, there are limitations to at-will employment that most are familiar with: an employer cannot terminate an employee because of their race, religion, sex, national origin, disability, or other protected characteristics under state and federal law. Likewise, whistleblower protections exist—employees cannot be terminated for disclosing unlawful activities to relevant authorities—and contractual arrangements between employer and employee take precedence over the at-will doctrine. But in general, the rule is mutual freedom to exit the relationship.
Under the at-will doctrine, employers do not need to provide a cause, give warning, or otherwise follow a prescribed process. The employer can let the employee go at any time, and the employee is free to quit at any time. Of course, employers and employees alike recognize the value and virtue of providing notice. Employers recognize the reputational risk that comes from dismissing employees out of hand and without cause, and employees recognize the value that ending an employment relationship on good terms can have for future employment.
At-will employment is ultimately about the terms of an employment relationship itself.
Right-to-Work
Right-to-work, on the other hand, has no relationship at all with hiring or firing. Right-to-work is fundamentally about the relationship between organizations, typically labor unions, and employees.
Right-to-work is perhaps the most misunderstood policy in all labor law. Under federal law, when a workplace elects to unionize, the selected union becomes the exclusive bargaining representative for all employees in the workplace, including employees who may have voted against unionization. The union then negotiates contracts—collective bargaining agreements—that run the gamut of workplace practices including wages,
hours worked, and procedures for employment arrangements. Those contracts can also include requirements for all workers to pay dues or fees to the union, defended on the basis of that because all workers benefit, all workers should pay. Those clauses are known as union security agreements.
But under another federal law, states are allowed to enact laws which prohibit union security agreements which we know today as right-to-work laws. In right-to-work states like Virginia, workers cannot be compelled to pay dues or fees to any organization as a condition of employment. Right-to-work is fundamentally about the freedoms of choice and association. Under right-to-work, employees are permitted to organize and collectively bargain and any employee at a unionized workplace is permitted to join the union. But that choice is made by the individual, it is not made for him or her as a condition of employment.
Why The Confusion, and Why Does This Matter?
Both concepts involve state discretion, both are framed in terms of freedom and individual rights, and both are often raised in political debates about labor policy. The respective names aren’t helpful either; on their faces, both sound like they relate to a right to have a job.
Understanding the distinction is essential for Virginia businesses and policymakers alike. Right-to-work keeps Virginia competitive in attracting new employers; it can be the deciding factor in where companies choose to locate, expand, or invest, and has been central to Virginia’s reputation as a business-friendly state for more than 70 years. At-will employment, meanwhile, ensures businesses have the operational flexibility to make staffing decisions quickly and serves to lower the cost and risk of hiring in the first place. Both policies help provide the conditions necessary for economic growth and job creation.
The 2026 General Assembly session saw legislation relating to both topics. Senate Bill 32 sought to repeal right-to-work in Virginia, while House Bill 930 would have substantially undermined the at-will doctrine. While both bills failed to pass, the debate is likely to return in future sessions. Weakening at-will employment or right-to-work would substantially undermine Virginia’s business climate and risk eroding the advantages that have fueled investment and job creation for decades. With states competing more aggressively than ever, Virginia cannot afford to retreat from the policies that have made it a top state for business.