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Southwest Gas v. Vargas

8/24/1995

vestigation processes and the strength and credibility of the witnesses. Furthermore, Vargas testified that two other Southwest employees had been demoted into a "nonfunctional department." With respect to termination policy, the following provision was contained in the Southwest employee manual received by Vargas:


A regular employee may only be terminated for cause, termination for cause will occur only after notification from the employee's supervisor or department head of unsatisfactory performance or violation of a company role, procedure or practice. The employee will be given an opportunity to correct the cause described by the supervisor or department head, except in cases where the employee's conduct constitutes a serious breach of company rules and is cause for immediate termination. For example: Insubordination"Failure to comply with established company rules or to comply with direct orders or instructions given by a member of management. Dishonesty". . . . Drugs or Alcohol". . . . Illegal Activity"Such as conviction of a felony; engaging in criminal act (other than a minor traffic violation); or, an act involving moral turpitude. Sabotage". . . . Safety". . . . The foregoing list is representative, but not all-inclusive.


(Emphasis in original.) 1 Moreover, Southwest's rules of general conduct read, in pertinent part:


Failure to adhere generally and substantially to these Rules of General Conduct, or any breach thereof, will be grounds for appropriate disciplinary action. Depending on the severity of the infraction, this may include any or all of the following: verbal reprimand, written reprimand, time off without pay, probation, or termination. . . . . In recognition of the employee's individual dignity, the company will not tolerate the harassment of individuals with words, signs or gestures related to race, religion or sexual matters.


Finally, Southwest's statement of disciplinary action provided:


Unsatisfactory performance or violation of a company rule, procedure or practice may result in


[111 Nev. 1064, Page 1070]


disciplinary action including, but not limited to, any or all of the following, depending on the seriousness of the circumstances: Verbal warning Written warning placed in personnel file Time off without pay Disciplinary probation delaying any increase in salary that may be due during the probationary period, exempting the employee from certain benefits during the probationary period (such as Employee Appliance Purchase Plan, job bidding, etc.) These steps serve as formal notice to provide the employee the opportunity to change or correct the problem. Failure to change or correct the problem will result in further action up to and including termination. A positive change in the specific behavior or problem after a period of time, as specified in the disciplinary action, will result in written notice concerning the correction to the personnel file.


In January 1988 and again in February 1988, all Southwest employees received an updated "Employee Information & Benefits Manual" and "Company Information Manual," respectively, and were required to sign a disclaimer acknowledging that neither the Employee Information & Benefits Manual nor the Company Information Manual,


nor any other company manual or communication, whatever the source, constitutes an employment contract. No employee, including the chairman of the board and the president, has a contract of employment with the company. Employment is by mutual consent of the company and each individual employee. It can be terminated by the employee at will and by the company according to the applicable policies in effect fr

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