Barnes received an updated policy manual from the personnel department every year that he worked for Pentrix. In addition to discussing such things as vacation, salary, and benefits, the policy manual described Pentrix’s progressive discipline system.
Pentrix’s progressive discipline system consisted of three basic steps. First, an employee’s supervisor must discuss the employee’s deficiencies with the employee and suggest ways for the employee to improve his or her work performance. Second, the employee must receive written notice of his or her poor performance with suggestions of how the performance can improve. Third, the employee must receive a written warning that if the employee’s performance does not improve, he or she will be terminated.
The manual provided that in cases of “material misconduct” a supervisor had the discretion to decide whether to follow the progressive discipline procedures. The policy manual also provided that Pentrix had complete discretion to decide who would be discharged in the event of a company layoff.
In 2000, the following language was added to the policy manual:
These policies are simply guidelines to management. Pentrix reserves the