Wrongful Termination FAQs – Employee Rights, Legal Claims & Next Steps

No. California Labor Code § 132a makes it illegal for an employer to terminate, threaten, or discriminate against an employee for filing or intending to file a workers’ compensation claim. If your employer fires you or takes adverse action because you were injured on the job or filed a claim, you may have both a workers’ compensation retaliation claim and a wrongful termination claim.

Remedies can include reinstatement, back pay, a penalty of up to $10,000, and costs and expenses up to $250. You may also pursue a separate civil lawsuit for wrongful termination in violation of public policy, which can include damages for emotional distress and potentially punitive damages.

Retaliation occurs when your employer takes an adverse employment action against you because you engaged in a legally protected activity. Protected activities include filing a discrimination or harassment complaint, reporting wage violations, filing a workers’ compensation claim, taking FMLA/CFRA leave, reporting workplace safety hazards, refusing to participate in illegal activity, and cooperating in a government investigation.

Adverse actions aren’t limited to termination. They can include demotion, pay cuts, schedule changes, negative performance reviews, hostile treatment, reassignment to undesirable duties, or any action that would discourage a reasonable employee from exercising their rights.

California courts take a broad view of what constitutes retaliation. If you suspect you’re being retaliated against, document everything and consult an employment attorney before the situation escalates.

No. California has some of the strongest whistleblower protections in the country. Under Labor Code § 1102.5, employers are prohibited from retaliating against employees who report suspected violations of law to a government agency, law enforcement, or a supervisor. Retaliation includes termination, demotion, reduction in hours, pay cuts, reassignment, threats, and other adverse employment actions.

If your employer retaliates against you for whistleblowing, you can file a complaint with the California Labor Commissioner or pursue a civil lawsuit. Remedies may include reinstatement, back pay, front pay, damages for emotional distress, and attorney’s fees.

Additional anti-retaliation protections exist for employees who report workplace safety violations (OSHA complaints), file workers’ compensation claims, report wage theft, or participate in investigations or lawsuits against their employer.

California is an “at-will” employment state, which means employers can generally terminate employees for any reason or no reason. However, there are important exceptions. Termination is wrongful if your employer fired you:

• Because of your protected characteristic (race, gender, age, disability, religion, national origin, sexual orientation, pregnancy, etc.) under the California Fair Employment and Housing Act (FEHA)
• In retaliation for reporting illegal activity, filing a workers’ compensation claim, taking protected leave, or exercising other legal rights
• In violation of an employment contract (written or implied)
• In violation of public policy (for example, firing you for refusing to commit an illegal act)
• For taking protected medical or family leave under FMLA or CFRA

If you believe you were wrongfully terminated, document everything, preserve any relevant communications (emails, texts, performance reviews), and consult an employment attorney promptly. California has strict deadlines for filing employment claims.