What is defamation of character?
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This is a difficult problem for you to deal with. While it may be true that the associate is damaging your reputation by false accusations, forcing your employer to discipline him/her is probably not plausible. Taking legal action is impractical.
Under Massachusetts law, there is no requirement that employers treat their employees fairly, reasonably, or in any other particular fashion. Laws regulate the payment of wages, the prevention of discrimination, and other discrete areas of the working relationship. They do not require employers to treat their workers well. Instead, the employment relationship is governed by what’s called the at-will rule. It provides, in sum, that work is effectively a day-to-day endeavor. Either employer or employee is free to end the relationship at any time, for any reason, with or without notice. The effect of this rule is to permit a broad range of conduct in the workplace, subject to the parties’ individual decisions how to react to it. As a worker, then, you cannot force your company to react in any particular way to this associate. You have no “right,” at least, to do so.