Can I Be Fired While On Workers’ Compensation?

Yes, you can be fired while you’re on workers’ compensation in California. But not because you’re on workers’ comp.

Confusing? Most injured California workers think so, too. But don’t worry — the team at Koh Legal Group is here to clear up the confusion.

Can you be fired while on workers’ comp in California? Yes, but there is a ton of nuance to consider. And if you’ve been improperly fired, you may have legal options available to you.

Keep reading to learn more, or reach out to our firm to speak with an attorney about your situation.

In California, it’s illegal for an employer to fire an employee solely because they filed a workers’ compensation claim or are receiving benefits. So you can’t (legally) be fired because of your workers’ comp claim.

This protection is meant to prevent retaliation against workers like you who exercise their right to seek medical care and compensation for work-related injuries. This is a right laid out under California law.

However, there are some important nuances to keep in mind:

Your job is protected under California’s workers’ compensation laws, meaning you can’t be fired just for claiming benefits. 

And if you are let go for this reason, it could be considered retaliation. In a case like that, you might have grounds for a wrongful termination lawsuit.

Here’s the big “however” that applies to many cases:

Your employer can still terminate you for other legitimate reasons unrelated to your workers’ compensation claim. 

For example, if your work performance was bad before the injury or if the company is downsizing, those reasons may be legally valid in California.

If you are medically cleared to return to work after your injury but unable to perform your usual job duties, your employer might need to accommodate your new restrictions or offer a suitable alternative role. 

If they can’t do that or if the accommodations are not reasonable, it could affect your employment status. This is a fairly large gray area that often requires the attention of a legal professional.

Let’s say you’ve just gotten the unfortunate news that your employer has fired you while you’re receiving workers’ comp. In California, and depending on the unique details of your case, that may mean some or all of the following:

If your employer has fired you as an act of retaliation because you pursued workers’ compensation benefits, that’s illegal in California. And it means you might be able to file a wrongful termination lawsuit.

If you have a viable wrongful termination suit that is successful, you may receive a monetary settlement to offset the financial damage done by your wrongful termination.

Even if you get fired while on workers’ compensation, your workers’ comp benefits should continue as they were supposed to — until you reach “maximum medical improvement.”

Keep in mind, though, that you likely will be unable to receive workers’ comp benefits if you file your claim after you’ve been fired. Your employer in that case may invoke what’s called the “post-termination defense.”

However, your employer still has to follow certain rules, and you may be able to recover benefits after termination if certain conditions are met. That’s why it’s important to speak with a qualified attorney if at all possible.

One key workers’ comp benefit in California that many injured workers forget about is vocational training. This benefit is meant to help you pay for and receive training for a new job if you’re unable to perform your old job due to your injury.

If you’re fired while on workers’ comp in California, you may be able to use this benefit to make yourself qualified for your next job.

You might lose your health insurance and related benefits you receive through your employer if they fire you — even if you’re already on workers’ comp.

However, workers’ comp should still cover medical expenses related to your injuries, regardless of your health insurance situation. But if you run into any trouble in this arena, it can be helpful to speak with an attorney.

Remember that you may be entitled to unemployment benefits because you’ve been fired. 

While “double-dipping” workers’ comp and unemployment benefits is generally not allowed, it can be helpful to know that unemployment benefits are available to you after your workers’ comp benefits come to an end.

Technically, you can quit your job while on workers’ comp in California. But you need to think long and hard before making that call.

The primary reason injured Californians avoid quitting their jobs while on workers’ comp is because they might lose part of their workers’ comp benefits. Specifically, their wage replacement benefits.

Your medical benefits — which are meant to cover medical expenses related to your injury — should continue on as planned. But your wage replacement benefits — which cover a portion of your salary while you are unable to work due to your injury — may go away. 

There are a lot of considerations and moving parts involved here, though, so it’s often a good idea to speak with a California workers’ comp attorney before making any decision regarding your employment while you’re on workers’ comp.

No. In most cases, your workers’ comp benefits should continue as they originally were supposed to even if your employer terminates you.

What changes, of course, is your employment status, as well as your ability to earn a living after you’ve recovered from your injury. 

That’s why it is crucial to speak with a lawyer if you believe you were fired because of your workers’ comp claim or otherwise wrongfully terminated. The right attorney may be able to help you win a wrongful termination lawsuit.

Every case is different, so there is no definitive “when” or “how” to file a retaliation claim or lawsuit in California. However, there are certain best practices to keep in mind. 

Here’s a general guide on when and how to proceed:

Generally, you may need to consider filing a retaliation claim under the following circumstances:

Retaliation claims should be filed as soon as possible after the retaliatory action occurs. 

In California, the time limit for filing a retaliation claim is generally one year from the date of the retaliatory action. For lawsuits, you typically have up to three years from the date of the retaliation to file a claim.

One of the potentially most impactful first steps is to speak with an experienced law firm. Firms like Koh Legal Group can help you chart a successful course to filing a retaliation lawsuit.

Also, collect and maintain detailed records of the retaliatory actions in question. That includes: 

This evidence will be crucial for your claim.

Then, it’s time to actually file your complaint. Depending on the nature of your case, you may need to file the complaint with one of several possible California government agencies.

An attorney can help you determine which agency to file your claim with. At the point of filing, you will generally follow these steps:

No one wants to be fired — especially when they’re injured and receiving workers’ comp benefits. Sadly, though, it happens. And if it happened to you, you may have legal options available to you to make your life easier.

When you’re ready to learn more about those options, Koh Legal Group is ready to hear from you. Give us a call at 213-232-2725 or contact us online to get started.