Can You Be Fired While Receiving Workers’ Compensation?

Suffering a workplace injury can leave you with more questions than answers. One of the biggest concerns many injured employees have is whether filing a workers’ compensation claim could cost them their job.
The short answer is: yes, an employee can be fired while receiving workers’ compensation benefits – but not because they filed a claim. Understanding the difference is important to protecting your rights.
Workers’ Compensation Does Not Guarantee Job Protection
Workers’ compensation is designed to provide medical benefits and wage replacement after a work-related injury. However, those benefits do not automatically guarantee that your employer must hold your position indefinitely.
In many states, employers may terminate an employee for legitimate business reasons that are unrelated to the workers’ compensation claim. For example, a company may eliminate positions due to layoffs, close a department, or terminate an employee for documented performance or policy violations.
It Is Illegal to Fire Someone for Filing a Workers’ Compensation Claim
Employers cannot retaliate against employees simply because they exercised their legal right to seek workers’ compensation benefits.
Signs that a termination may have been retaliatory include:
- Being fired shortly after reporting a workplace injury.
- Receiving sudden negative performance reviews after filing a claim.
- Being treated differently than similarly situated employees.
- Hearing comments suggesting your claim is the reason for disciplinary action.
- If your employer’s stated reason for termination doesn’t seem to match the facts, it may be worth having your situation reviewed by an experienced attorney.
What If You Cannot Return to Your Previous Job?
Depending on your injuries, your doctor may place temporary or permanent work restrictions on your activities. In some cases, employers can accommodate those restrictions with modified or light-duty work. In others, your previous position may no longer be available.
Even if your employment ends, you may still be entitled to workers’ compensation benefits if your injury remains work-related and you continue to qualify under the law.
What Should You Do If You’re Fired?
If you’ve been terminated while receiving workers’ compensation benefits:
- Keep copies of all employment and medical records.
- Document conversations with your employer whenever possible.
- Continue following your physician’s treatment recommendations.
- Speak with an attorney before signing severance agreements or other employment documents.
- Every case is different, and the facts surrounding your termination can make a significant difference in your legal options.
Know Your Rights
Being injured on the job is stressful enough without worrying about losing your livelihood. While employers may have legitimate reasons to terminate employment, they cannot legally retaliate against you simply for pursuing workers’ compensation benefits.
If you’ve been injured at work and have questions about your rights, the experienced attorneys at Banks Law can evaluate your situation, explain your legal options, and help you understand the protections available under the law.