Imagine a horrible accusation made against one of your managers — maybe harassment, maybe violence, maybe theft, maybe drugs. This is an outspoken employee who has sued you before — and won — and with whom you have to be careful. But under heavy pressure from top executives, you immediately fire the manager, loudly explaining that this behavior won’t be tolerated.
Then you find out that you got the facts wrong and acted too hastily. The CEO calls the fired manager to apologize and offer reinstatement and a promotion. She sits on the job offer for a week, deciding whether to sue or bargain for more.