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Did the company you were a hiring manager for lose those lawsuits? Someone can sue for any reason, ultimately the fired individual would have to prove that the at-will term was not for some protected reason. I've witness an attempt at one of these and the company just repeatedly said "That was not the reason for termination. Your employment contract can be ended “at will,” which is where the name comes from. Allegedly this is made up for by the fact that you too can just quit your job whenever you want to, without notice. "At-will" can be contracted around and is frequently disallowed in collective bargaining, but very few US employees have that protection. Essentially every employer who can employ at-will does so and will refuse to hire employees who demand for-cause-only termination provisions.
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