Wrongful Termination Lawsuits Work
Wrongful termination occurs when an employer fires an employee in violation of the employee’s contract or in contravention of state and federal law. This may be due to violations of laws against discrimination, harassment or whistleblower protections or because the company terminated the employee for a reason that violates public policy. A successful wrongful termination lawsuit can recover lost earnings, back pay, compensation for non-pecuniary losses and damages to the company’s reputation.
The most common type of wrongful termination claim is a case that arises from an act or omission that violates a statute, a labor law regulation or a court ruling. For this type of claim to succeed, an employee must prove that their employer’s actions were illegal. The employee must also demonstrate that they suffered as a result of these actions.
Other types of wrongful termination claims are based on discrimination or retaliation. Discrimination is a broad term that covers many forms of bias and unfair treatment. Discrimination against a protected class, such as race, gender, national origin or religion, is generally easy to prove. However, it becomes more difficult to prove when the employer’s actions are not intentional but have a disparate impact on members of a protected class.
How Do Wrongful Termination Lawsuits Work?
Some of the most difficult wrongful termination claims to win are those that stem from a violation of public policy. For example, it is against public policy to retaliate against an employee for engaging in an activity that serves the public good. This includes activities such as missing work for jury duty or voting. It is also against public policy to retaliate for a worker’s refusal to engage in illegal activities, such as Medicare fraud. This type of wrongful termination lawsuit is known as a qui tam case.
Employment contracts and employee handbooks often contain stipulations about when and how an employer can fire employees. If an employee is fired in violation of these terms, it is a violation of a legal right. An experienced attorney can review the details of an individual’s employment contract or employee handbook to determine whether there is sufficient evidence to support a wrongful termination claim.
In addition to lost wages, a wrongful termination lawsuit may also award compensation for the cost of seeking new employment. These costs can include travel expenses to job fairs, membership fees for professional organizations, wardrobe expenses and the cost of obtaining replacement employment. An additional type of compensation awarded in a wrongful termination lawsuit is damages for the loss of fringe benefits such as health care coverage, life insurance and retirement savings.
In addition, courts will usually expect the employee to mitigate their losses by making a reasonable effort to find a new position, so mitigation sums may be subtracted from the total lost earnings compensation. A wrongful termination lawsuit is a serious matter that can have a devastating effect on the former employee’s career and finances. An experienced attorney can help a client put together a strong case for the maximum financial recovery possible.
