Can I Be Fired While on Workers’ Compensation?

injured employee talking to a manager
|

If you've been injured at work and are receiving workers' compensation benefits, you might wonder, "Can my employer fire me while I'm on workers' compensation?" It's a concerning question, and understandably so—dealing with a workplace injury and managing financial obligations is already overwhelming without the added fear of losing your job.

The short answer is that, yes, you can be terminated while on workers' compensation. However, it's not as simple as it sounds. There are legal protections in place to prevent unfair dismissal, and knowing your rights is the first step toward protecting yourself.

Understanding Workers’ Compensation and Job Security

Workers’ compensation is a benefit system designed to provide financial assistance to employees who are injured on the job. It covers medical bills, rehabilitation costs, and a portion of lost wages while you recover. However, receiving workers' compensation benefits does not act as a shield against termination. Your employment status and workers' comp benefits operate under separate laws.

The key here is understanding why your employer might terminate your employment while you're on workers’ comp. The reasons make all the difference in determining whether or not the termination was lawful.

Acceptable Reasons for Termination While on Workers’ Comp

Employers are legally allowed to fire employees on workers’ compensation under certain circumstances, provided the termination is not directly related to the workers' comp claim. Examples of legitimate reasons might include:

  • Company-wide layoffs: If your employer is downsizing or closing operations, you could be impacted like any other employee.
  • Poor performance unrelated to injury: If there were documented instances of underperformance or misconduct prior to your injury, your employer may use this as a reason for termination.
  • Violation of company policies: Breaching workplace rules or failing to comply with standard protocols could result in termination, regardless of your injury status.
  • Position elimination: If the role you hold is no longer needed or has been phased out, your employment may be terminated.

Employers are required to provide valid, non-discriminatory reasons for terminating an employee, regardless of workers' compensation status.

Termination as Retaliation for Filing Workers’ Comp

It's critical to know that firing an employee in retaliation for filing a workers’ compensation claim is illegal. Laws in most states explicitly protect employees from being punished or dismissed for exercising their right to claim workers' comp benefits. This is referred to as "retaliatory termination."

Retaliatory actions can include:

  • Terminating your role shortly after you file your claim.
  • Demoting or mistreating you because of your claim.
  • Threatening to fire you to discourage you from filing a claim.

If you believe your termination was directly tied to filing a workers’ compensation claim, this could be grounds for legal action. Retaliation violates labor laws, and you may have the right to pursue a wrongful termination lawsuit.

Will You Lose Your Workers’ Comp Benefits If Terminated?

The good news is that termination does not automatically end your workers’ compensation benefits. Once you qualify for workers' comp, your benefits are typically based on the severity of your injury and your ability to return to work, not your employment status.

For example:

  • If you're still receiving medical treatment or are unable to work due to your injury, you will likely continue to receive your benefits even if terminated.
  • However, if you recover and are cleared to return to work after being terminated, your benefits may end since you're no longer employed with the company.

It’s essential to communicate with your workers’ compensation insurance provider to ensure there are no disruptions to your benefits.

What to Do If You’re Fired While on Workers' Comp

If you’ve been fired while on workers’ comp and suspect the termination may be unfair or retaliatory, follow these steps to protect your rights:

  1. Review Your Termination Documentation: Check any formal communication from your employer to understand the stated reason for termination.
  2. Document Everything: Keep copies of your performance reviews, any disciplinary actions, correspondence related to your workers' comp claim, and your termination letter.
  3. Consult with an Employment Attorney: A qualified employment attorney can evaluate your case, determine if your termination was unlawful, and help you take the appropriate action.
  4. File a Claim for Retaliation (if applicable): If you believe you were fired in retaliation for filing workers’ comp, you may need to file a claim with your state labor department or pursue a lawsuit against your employer.

Protecting Yourself With a Workers’ Compensation Attorney

Being fired while on workers’ compensation can feel like a significant blow, but it doesn’t mean the end of your financial stability or rights. Staying informed about your state’s workers' compensation laws and enlisting the help of an experienced attorney can empower you to take the right steps moving forward.

At the end of the day, it's important to prioritize your health and recovery while ensuring you're treated fairly. If you’re unsure of your rights or need guidance navigating your situation, don’t hesitate to seek expert assistance. Your well-being, both physical and financial, deserves protection.

If you believe you've been wrongfully terminated while on workers’ comp and need legal advice, The Sexton Law Firm is here to help. Our experienced team is here to advocate for your rights and ensure your peace of mind.

Contact us at (619) 202-8976 and schedule a free consultation today!

Categories: