## Facts

- Lydia D. Sisco worked for GSA National Capital Federal Credit Union, initially as a loan processor and later as head teller.
- The Credit Union’s board adopted and distributed a written Policy Manual intended to guide employees.
- At distribution, management allegedly told employees the manual was their “bible,” that it answered questions about their jobs, and that they should rely on it.
- The manual included a discipline scheme listing specific infractions (including unexcused absence) and a progressive sequence of suspensions, with discharge contemplated only after repeated offenses within a one-year period.
- Sisco had no written employment contract beyond a probationary period; the board could revise or discontinue the manual unilaterally.
- During a significant snowfall, Sisco did not report to work; the Credit Union treated this as an unexcused absence and terminated her immediately without using progressive discipline.
- Sisco sued for breach of contract, alleging the manual modified the at-will relationship and restricted discharge to the manual’s progressive-discipline framework.
- The trial court granted summary judgment to the Credit Union, concluding the manual did not create contractual limits on at-will termination.

## Issues

1. Whether the Policy Manual’s language and dissemination created a triable issue that an implied contract limited the employer’s right to discharge an otherwise at-will employee.
2. Whether any promise of job security in the Policy Manual was supported by adequate consideration sufficient to defeat summary judgment.

## Decision

- The appellate court reversed summary judgment for the Credit Union and remanded.
- The court held the manual and surrounding representations could permit a factfinder to conclude an implied contract existed that limited discharge and required adherence to progressive discipline.
- The court held a factfinder could also find adequate consideration based on Sisco’s continued employment after receiving the manual and the employer’s benefit from her continued service.

## Legal Principles

- At-will employment is presumed absent a contract right to continued employment, but the presumption may be rebutted by an implied contract arising from employer policy statements.
- A personnel manual may create contractual limits on discharge when its terms are sufficiently definite and mandatory in tone (e.g., specific offenses and a prescribed progressive discipline sequence) and are presented for employee reliance, absent clear disclaimers.
- Unilateral promulgation and employer power to modify a manual do not, by themselves, preclude contractual effect; the key question is whether a reasonable employee could view the manual as a commitment.
- Whether a manual forms an implied contract is commonly a fact question not suited to summary judgment when the record supports competing inferences.
- Continued employment by an employee free to leave can constitute consideration for modified employment terms, supporting enforceability of a handbook-based promise of job security.

## Conclusion

The court held that the Credit Union’s detailed, mandatory-sounding disciplinary provisions and management’s encouragement that employees treat the manual as authoritative could support an implied contract limiting at-will termination, and that Sisco’s continued work after receiving the manual could supply consideration; summary judgment for the employer was therefore improper.


Sisco v. GSA Nat’l Cap. Fed. Credit Union, 689 A.2d 52 (D.C. 1997)