Wrongful termination is a serious issue that affects thousands of employees across the United States each year. Losing your job is stressful enough, but when it happens unfairly or illegally, the impact can be even more devastating. Fortunately, U.S. labor laws offer protection and legal remedies for workers who have been wrongfully fired. In this article, we will break down what wrongful termination is, how to recognize it, and what legal rights employees have after being wrongfully terminated.
Wrongful termination occurs when an employer fires an employee in violation of federal or state laws, employment agreements, or public policy. Although most employment in the U.S. is "at-will" — meaning employers can fire workers at any time for almost any reason — there are important exceptions.
Discrimination (race, gender, age, religion, disability, sexual orientation, etc.)
Retaliation for reporting illegal activity (whistleblowing)
Breach of contract
Termination after filing a workers' compensation claim
Firing in violation of public policy
If you suspect your firing falls into any of these categories, you may have a legal claim.
If you believe your termination was illegal, your first step is to file a complaint with the appropriate agency. For discrimination or harassment cases, the Equal Employment Opportunity Commission (EEOC) handles investigations. Most states also have their own labor departments or human rights commissions where you can report workplace violations.
After filing a complaint and receiving a “Right to Sue” letter from the EEOC, you may file a lawsuit in civil court. You can sue for:
Lost wages
Emotional distress
Legal fees
Punitive damages (in extreme cases)
Hiring an experienced employment lawyer is highly recommended at this stage.
If the court finds that you were wrongfully terminated, you may be entitled to back pay, including unpaid wages, bonuses, and other benefits like healthcare or retirement contributions.
In some cases, the court may order your employer to reinstate you to your former position. While not always possible or practical, this can be an option if both parties agree.
Even after termination, former employees have rights. If you were harassed, discriminated against, or retaliated against before being fired, you may still pursue justice and compensation under federal and state employment laws.
Keep records of emails, performance reviews, and anything that may support your case. Write down names, dates, and conversations related to your termination.
Ask your employer to put the reason for your termination in writing. This document can be used to show inconsistencies or evidence of wrongful behavior.
You generally have 180 days from the date of termination to file a complaint with the EEOC, though some states allow up to 300 days.
An attorney who specializes in wrongful termination can help you assess your case, gather evidence, and take legal action. Many offer free consultations and work on a contingency fee basis.
To build a strong case, you’ll need to show that your termination was:
Unlawful or discriminatory
In retaliation for a legally protected action (like reporting harassment)
In breach of an employment contract or policy
Evidence may include:
Emails or text messages from supervisors
Witness statements from coworkers
Employment contracts
Personnel files
The statute of limitations for wrongful termination claims varies by state and by the type of claim. Some cases require action within 180 days, while others allow up to 3 years. Missing these deadlines can disqualify you from legal recourse, so don’t delay.
Yes, in most cases, employees who are wrongfully terminated can still collect unemployment benefits, even if they plan to file a lawsuit. Make sure to apply as soon as possible, as waiting could delay or reduce your benefits.
Being fired unfairly is not only emotionally difficult but also financially devastating. If you suspect that your termination was unlawful, it’s important to act quickly and assert your legal rights. Whether you're seeking justice, compensation, or simply a fresh start, knowing your rights is the first step to protecting yourself after wrongful termination.