Fired Illegally? California
Wrongful Termination Lawyer

What Is Wrongful Termination in California?

Wrongful termination in California occurs when an employer fires an employee for an illegal reason — including discrimination, retaliation, whistleblowing, or violation of public policy. California is an at-will employment state under Labor Code § 2922, so employers can generally end an employment relationship for any reason. But "at-will" is not a license to fire for any reason. When an employer's motive is discriminatory, retaliatory, or otherwise unlawful, the termination is wrongful and the employee has the right to sue.

California's wrongful termination protections are among the strongest in the nation. The Fair Employment and Housing Act (FEHA), Government Code §§ 12900–12996, covers employers with five or more employees and protects a broad list of characteristics. The California Supreme Court in Rojo v. Kliger, 52 Cal. 3d 65 (1990), confirmed that FEHA must be interpreted liberally to accomplish its remedial purpose.

California Wrongful Termination Laws

Fair Employment and Housing Act (FEHA)

FEHA is the cornerstone of California employment law. Government Code § 12940 prohibits employers from terminating employees because of race, color, ancestry, national origin, religion, sex, gender identity or expression, sexual orientation, marital status, pregnancy or pregnancy-related conditions, age (40+), disability, medical condition, genetic information, or military/veteran status. FEHA applies to employers with five or more employees for most protections; for sexual harassment, even single-employee workplaces are covered.

Labor Code § 1102.5 — Whistleblower Protection

California Labor Code § 1102.5 prohibits employers from retaliating against employees who disclose, or have a reasonable belief that they are disclosing, a violation of a state or federal statute or regulation to a government agency, law enforcement, or the employer itself. The 2023 amendment under SB 497 added a rebuttable presumption of retaliation if termination follows a covered disclosure within 90 days. The employer must then prove a legitimate, non-retaliatory reason for the termination by clear and convincing evidence.

California Family Rights Act (CFRA)

Government Code § 12945.2 gives eligible employees at employers with five or more employees up to 12 weeks of unpaid, job-protected leave per year to bond with a new child, care for a seriously ill family member, or manage their own serious health condition. Firing an employee for taking, requesting, or being eligible for CFRA leave is illegal retaliation. California also separately mandates Pregnancy Disability Leave (PDL) under Government Code § 12945 for up to four months of disability related to pregnancy or childbirth.

Tameny Claims — Public Policy

In Tameny v. Atlantic Richfield Co., 27 Cal. 3d 167 (1980), the California Supreme Court held that even in an at-will state, employers cannot terminate employees for reasons that contravene fundamental public policies articulated in the state's Constitution, statutes, or regulations. A Tameny claim is a tort — not a contract claim — and supports recovery of emotional distress and punitive damages that would not be available in a pure breach-of-contract action.

Federal Protections

Federal law provides a parallel (and often overlapping) framework. Title VII of the Civil Rights Act of 1964 prohibits termination based on race, color, religion, sex, or national origin (employers with 15+ employees). The Age Discrimination in Employment Act (ADEA) covers workers aged 40 and older at employers with 20+ employees. The Americans with Disabilities Act (ADA) protects qualified individuals with disabilities at employers with 15+ employees. California employees can typically pursue both state and federal claims simultaneously, but state law often provides stronger protections and broader coverage.

Types of Wrongful Termination in California

1. Discrimination-Based Termination

The most straightforward form of wrongful termination involves firing an employee because of a protected characteristic. California FEHA cases require the plaintiff to show that the discriminatory reason was a substantial motivating factor in the decision — not necessarily the only reason. See Harris v. City of Santa Monica, 56 Cal. 4th 203 (2013). This "substantial motivating factor" standard is more favorable to employees than the "but-for" causation standard applied in federal ADEA cases.

Common discrimination-based termination scenarios include:

• Pregnancy discrimination: Firing a worker after she announces her pregnancy or requests maternity leave
• Age discrimination: Selecting older workers for layoffs while retaining younger employees with similar performance records
• Disability discrimination: Terminating a disabled employee rather than engaging in the interactive process to identify reasonable accommodations
• Race or national origin discrimination: Using a reduction in force as cover for disproportionately eliminating workers of a particular race or origin
• LGBTQ+ discrimination: Firing an employee after learning of their sexual orientation or gender identity

2. Retaliatory Wrongful Termination

Retaliation is one of the most common wrongful termination theories in California employment cases. California law protects employees who engage in a broad range of protected activities, including:

• Filing a workers' compensation claim (Labor Code § 132a)
• Reporting wage violations to the California Labor Commissioner (Labor Code § 98.6)
• Complaining internally or to a government agency about workplace discrimination or harassment
• Participating as a witness in a co-worker's FEHA investigation or lawsuit
• Taking protected leave under CFRA, FMLA, or PDL
• Reporting unsafe working conditions to Cal/OSHA
• Disclosing a reasonable belief of a legal violation under Labor Code § 1102.5
• Refusing to sign an illegal non-compete agreement

Suspicious timing — termination occurring within days or weeks of protected activity — is powerful circumstantial evidence of retaliation. Courts also look for pretextual justifications (i.e., stated reasons that are inconsistent with the employer's prior conduct or that were never raised before the protected activity). See Guthrey v. State of California, 63 Cal. App. 4th 1108 (1998).

3. Wrongful Termination in Violation of Public Policy

Beyond statutory protections, California courts recognize Tameny tort claims for terminations that violate fundamental public policies. The policy must be: (1) delineated in a constitutional or statutory provision; (2) public in nature; (3) well-established at the time of the termination; and (4) substantial and fundamental. Examples include firing an employee for:

• Refusing to commit perjury or obstruct justice
• Reporting a crime to law enforcement or cooperating with an investigation
• Filing a wage claim with the Labor Commissioner
• Exercising their right to vote (Elections Code § 14000)
• Serving on a jury (CCP § 230)
• Reporting workplace safety hazards to Cal/OSHA

4. Breach of Implied or Express Contract

Even in at-will employment, California courts have found implied contracts that limit the right to terminate. Courts examine the totality of circumstances in Foley v. Interactive Data Corp., 47 Cal. 3d 654 (1988), including:

• Employee handbooks or policies that describe termination only for specific causes
• Oral assurances of job security made by supervisors or HR personnel
• Length of service, raises, promotions, and consistent positive performance reviews
• Industry customs suggesting employees are not at-will

An employee claiming breach of implied contract need not prove discriminatory motive — only that the employer terminated without the cause the contract required. Damages are typically limited to economic losses (no punitive damages), but can be substantial in long-tenured positions.

5. Constructive Discharge

Constructive discharge is legally treated as a termination even though the employee resigned. It occurs when an employer deliberately makes working conditions so intolerable that a reasonable person would feel compelled to quit. California applies an objective "reasonable person" test: would a reasonable employee in the plaintiff's circumstances have felt they had no choice but to resign? See Turner v. Anheuser-Busch, Inc., 7 Cal. 4th 1238 (1994). Common constructive discharge scenarios include sustained harassment, demotion to a humiliating position, or dramatic pay cuts designed to push an employee out.

How to Prove Wrongful Termination

The elements of a wrongful termination claim vary by theory, but generally require:

1. Employment relationship: You were employed by the defendant at the time of termination.
2. Adverse employment action: The employer terminated your employment or constructively discharged you.
3. Illegal motive or breach: The termination was substantially motivated by discrimination, retaliation, a public policy violation, or breach of contract.
4. Causal link: The illegal motive was a substantial factor in causing the termination.
5. Damages: You suffered economic or non-economic harm as a direct result.

Evidence That Wins Wrongful Termination Cases

• Documentation of protected activity: Emails, HR complaint records, DFEH/CRD filings, safety reports — anything that proves the employer knew you engaged in protected activity before the termination
• Performance records: Positive reviews, raises, or commendations that contradict the employer's pretextual "performance" justification
• Comparator evidence: Similarly situated employees who did not engage in protected activity and were not fired under similar circumstances
• Timing: A termination occurring within days or weeks of a protected complaint is often the most powerful evidence available
• Inconsistent explanations: An employer who gives shifting or contradictory reasons for the termination provides strong circumstantial evidence of pretext
• Witness testimony: Coworkers, former supervisors, or HR personnel who observed discriminatory comments or retaliatory conduct
• Internal communications: Emails, Slack messages, or meeting notes from decision-makers that reveal the true motive

Filing a Wrongful Termination Claim in California

Step 1: File a CRD Complaint (FEHA Claims)

For FEHA-based claims, you must file an administrative complaint with the California Civil Rights Department (CRD) before you can sue in court. The CRD will investigate and either resolve the complaint administratively or issue a Right-to-Sue Notice. The deadline is three years from the unlawful act under Government Code § 12960. For federal claims, also file with the EEOC within 300 days — complaints are typically cross-filed under the work-sharing agreement.

Step 2: Obtain a Right-to-Sue Notice

Once you receive a Right-to-Sue Notice from the CRD, you have one year to file a civil lawsuit in California Superior Court under FEHA. For EEOC Right-to-Sue Notices (federal claims), you have 90 days to file in federal court.

Step 3: File the Civil Lawsuit

Your attorney files a complaint in California Superior Court (or federal district court) setting out the facts, legal theories, and damages sought. The employer is served and typically has 30 days to respond.

Step 4: Discovery

Both sides exchange documents, conduct depositions, and gather evidence. Your attorney will depose HR personnel, supervisors, and witnesses; request internal emails and HR records; and obtain the employer's termination decision-making documents.

Step 5: Mediation or Trial

The vast majority of employment cases settle before trial, often through private mediation. If no settlement is reached, the case proceeds to a jury trial. California juries have historically been sympathetic to employee plaintiffs in wrongful termination cases.

Damages in California Wrongful Termination Cases

Economic Damages

• Back pay: Lost wages and benefits from termination to the date of verdict
• Front pay: Future lost earnings when reinstatement is not feasible
• Lost benefits: Health insurance, retirement contributions, stock options, bonuses, and commissions
• Job search expenses

Non-Economic Damages

• Emotional distress: Compensation for anxiety, depression, humiliation, and other psychological harm resulting from the termination
• Damage to reputation

Punitive Damages

Civil Code § 3294 authorizes punitive damages when the employer's conduct was malicious, oppressive, or fraudulent. In FEHA cases, punitive damages require proof of authorization, ratification, or advance knowledge by an officer, director, or managing agent of the company. Punitive awards can multiply the total recovery significantly and are particularly powerful leverage in settlement negotiations.

Attorney's Fees

Under FEHA (Government Code § 12965(c)), a prevailing plaintiff is entitled to recover reasonable attorney's fees and costs from the employer. This fee-shifting provision makes it economically viable for attorneys to take meritorious cases on contingency — meaning you pay nothing unless you win.

Statute of Limitations: Wrongful Termination California

Frequently Asked Questions

Contact Bluestone Law — Free Wrongful Termination Consultation

If you believe you were wrongfully terminated, the most important step you can take is speaking with a California employment attorney as soon as possible to preserve your rights and meet filing deadlines. At Bluestone Law, founding attorney Rotem Tamir — a former employer-side defense lawyer who knows exactly how companies and their insurers evaluate these claims — represents employees throughout California on a contingency fee basis.

We handle wrongful termination cases in Los Angeles, Orange County, San Diego, the Inland Empire, the San Fernando Valley, and throughout California. Contact us today for a free, confidential consultation.

Wrongful Termination California — What Employers Cannot Do

Understanding employer obligations is just as important as understanding employee rights. California employers are legally prohibited from taking any of the following actions that could expose them to wrongful termination liability:

Retaliating Against Workers Who Exercise Statutory Rights

California law recognizes dozens of specific employee rights whose exercise cannot lawfully trigger a termination. These include the right to take a meal or rest break (Labor Code § 226.7), the right to use sick leave to care for a family member (Lab. Code § 233), the right to discuss wages with co-workers (Lab. Code § 232), the right to access one's own personnel file (Lab. Code § 1198.5), and the right to report a violation to a government agency (Lab. Code § 1102.5). When a termination is causally connected to the exercise of any of these rights, it is both wrongful termination and retaliation under California law.

Using Facially Neutral Policies as a Cover for Illegal Motives

Employers sometimes use policies like "last hired, first fired" or "reduction in force" to disguise discriminatory intent. Courts look beyond the employer's stated rationale to examine the actual decision-making process. If the employees selected for termination under a "neutral" policy are disproportionately members of a protected class, the policy itself may constitute unlawful disparate-impact discrimination — or may mask disparate treatment. California FEHA's "substantial motivating factor" standard from Harris v. City of Santa Monica applies: a protected characteristic need not be the sole reason for the termination, only a substantial one.

Terminating to Avoid Benefit Obligations

Firing an employee to prevent them from vesting in a pension, exercising stock options, collecting a commission, or receiving a bonus that is imminent may constitute a breach of implied contract and, depending on the circumstances, a violation of ERISA (for pension benefits) or California Labor Code § 221 (unlawful deductions). Courts have found wrongful termination when termination was timed to defeat an employee's right to receive compensation earned but not yet paid.

Wrongful Termination in Mass Layoff Situations

California WARN Act

The California Worker Adjustment and Retraining Notification (WARN) Act, Labor Code §§ 1400-1408, requires employers with 75 or more full-time or part-time employees to provide 60 days advance written notice before ordering a mass layoff (50 or more employees within a 30-day period), relocation, or plant closure. Failure to provide required WARN Act notice entitles each affected employee to up to 60 days of back pay and benefits. California's WARN Act is significantly broader than the federal WARN Act — it covers employers with 75 employees (vs. federal's 100) and applies to layoffs of 50 employees (vs. federal's 100 or one-third of the workforce).

Age Discrimination in Reductions in Force

Reductions in force are among the most common occasions for age discrimination claims. When an employer selects employees for layoff using criteria that correlate with age — salary level, seniority, years of experience — it risks disparate-impact liability under California FEHA and the federal ADEA. Red flags include: the RIF disproportionately eliminating employees over 40; replacing laid-off older workers with younger employees in equivalent roles; using "long-term potential" or "adaptability" as selection criteria that effectively screen by age; and failing to comply with OWBPA disclosure requirements in connection with severance agreements offered to laid-off employees.

What to Do Immediately After Wrongful Termination

The steps you take in the days and weeks after a wrongful termination significantly affect your legal options and the strength of your eventual claim:

1. Request a Written Explanation

Ask your employer in writing for the reason for your termination. California Labor Code § 1053 requires employers to provide a written statement of the reason for discharge if the employee requests one within 14 days. An employer who gives shifting or inconsistent written explanations has provided powerful pretext evidence for your discrimination or retaliation claim.

2. Preserve Your Evidence

Before returning company equipment, make copies (within your legal rights) of communications relevant to your potential claim — performance reviews, positive commendations, emails documenting protected activity (complaints you made, leave requests, reports to HR), and any communications from supervisors or HR that relate to the adverse treatment. Do not remove confidential business information beyond what documents your own employment situation.

3. Apply for Unemployment Benefits

File for unemployment benefits with the California Employment Development Department immediately. Your eligibility for UI benefits does not preclude a wrongful termination lawsuit. In fact, the EDD's findings — including the employer's stated reason for your separation — can provide valuable evidence in your civil case. Visit EDD Unemployment Insurance to file.

4. Document Everything

Begin a contemporaneous log documenting everything relevant to your termination — meetings, conversations with HR, the dates and content of any written warnings you received, and anything you know about your employer's treatment of others in similar situations. Memory fades; written contemporaneous records are among the most credible evidence in employment litigation.

5. Consult a California Wrongful Termination Attorney

Most California employment attorneys offer free consultations and handle wrongful termination cases on contingency. The earlier you consult, the more options you have — including preserving evidence through litigation holds and meeting the administrative complaint deadlines that can bar your claims forever.

Understanding Your Severance Package After Termination

Many terminated employees are presented with a severance agreement that requires them to waive legal claims in exchange for severance pay. Before signing, understand:

• You have 21 days to consider (45 days in a group layoff) if you are 40 or older (OWBPA)
• 7-day revocation period after signing for workers 40+ — the agreement is not final until this period expires
• PAGA claims are not fully waivable — the State's 75% share cannot be released in a private agreement (Iskanian v. CLS Transportation)
• Severance is negotiable — the first offer is rarely the final offer, and an attorney can often negotiate improved terms
• SB 331 (2021) prohibits confidentiality of discrimination/harassment facts in settlement agreements

Never sign a severance agreement within the review period without at minimum consulting an employment attorney. The claims you waive may be worth significantly more than the severance offered.

Why Choose Bluestone Law for Your Wrongful Termination Case

Bluestone Law is a California employment law firm representing employees in wrongful termination cases throughout Los Angeles and the state of California. Founding attorney Rotem Tamir (CA Bar #328968) earned his J.D. Cum Laude at Loyola Law School and was inducted into the Order of the Coif. Before founding Bluestone Law, he spent years representing employers at leading California defense firms — giving him unmatched insight into how companies evaluate, defend, and settle wrongful termination claims.

This perspective is our clients' advantage. We know what evidence moves employers to settle, what defenses will be raised, and what it takes to win at trial. We have represented employees across the full spectrum of California wrongful termination cases — from individual FEHA discrimination claims to complex multi-plaintiff PAGA and wage-hour actions — and we handle every case on a contingency fee basis.

If you were wrongfully terminated, you have a limited window to act. California's CRD complaint deadline is three years from your termination date — but the earlier you consult an attorney, the stronger your case. Evidence is preserved, witness recollections are fresh, and negotiating leverage is greatest before litigation begins.

Contact Bluestone Law today for a free, confidential consultation. We represent workers throughout Los Angeles, Orange County, San Diego, the Inland Empire, Sacramento, San Francisco, and all of California.