Wrongful Termination Claim: Meaning, Types, and How to File
What is a wrongful termination claim?
A wrongful termination claim is a legal action an employee brings against an employer who they believe fired them unlawfully. Claims typically allege violations of federal or state statutes (for example, anti‑discrimination, whistleblower, or labor laws) or breaches of an employment contract. Remedies can include monetary damages, reinstatement, or statutory penalties.
Key takeaways
- A wrongful termination claim challenges an allegedly illegal or contract‑breaching firing.
- Most claims are based on discrimination, retaliation, statutory protections, or breach of a “for cause” contract.
- Remedies may include lost wages, job reinstatement, and other damages.
- Certain claims (e.g., discrimination) often require filing an administrative charge first (such as with the EEOC).
Employment‑at‑will and limits to employer discretion
In most U.S. states, employment is “at will,” meaning employers can generally terminate employees without cause or advance notice. However, at‑will employment does not allow dismissals that violate laws or contractual terms. An involuntary termination that breaches statutes or an employment agreement can form the basis for a wrongful termination claim.
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Common types of wrongful termination claims
Discrimination
* Termination based on protected characteristics—race, color, religion, sex (including pregnancy, sexual orientation, or gender identity), national origin, age (40+), disability, or genetic information—can be unlawful.
* These claims are typically handled by the Equal Employment Opportunity Commission (EEOC) or equivalent state agencies; administrative charges are often required before a lawsuit.
Retaliation / Whistleblowing
* Employers cannot legally punish employees for reporting illegal activities, safety violations, or other protected complaints.
* Firing an employee for filing a workers’ compensation claim can also be unlawful if it’s truly retaliatory.
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Medical and genetic information protections
* Laws such as the Genetic Information Nondiscrimination Act (GINA) prohibit using genetic information or family medical history in employment decisions, including firing.
Protected concerted activity and organizing
* Under the National Labor Relations Act (NLRA), employees have the right to engage in concerted activity to improve working conditions, including organizing or union activity—even if they are not union members.
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Breach of contract / lack of cause
* If an employment contract or offer letter requires “for cause” termination and no cause was given or it falls outside the contract’s defined reasons, the employee may sue for breach of contract rather than statutory violation.
Remedies for successful claims
Possible outcomes include:
* Back pay for lost wages and benefits.
* Front pay or reinstatement to the former position.
* Compensatory and, in some cases, punitive damages.
* Attorney’s fees and statutory penalties, depending on the claim and jurisdiction.
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How to file a wrongful termination claim
- Review employment documents
- Read your offer letter, employee handbook, contract, and any severance agreement to understand rights, policies, and deadlines.
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Avoid signing waivers or severance releases without legal review, especially if they require giving up the right to sue.
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Preserve evidence
- Collect personnel records, performance reviews, written warnings, emails, pay stubs, and any documentation related to the termination.
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Note names of decision‑makers, dates, witnesses, and relevant conversations.
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Consider administrative requirements
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For discrimination claims, you usually must file a charge with the EEOC or a state fair employment practices agency before suing. Timelines vary by statute and state.
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Consult an employment attorney
- Speak with a labor or employment lawyer promptly—statutes of limitation vary and evidence may be time‑sensitive.
- An attorney can assess the claim, advise on strategy (administrative charge, negotiation, or lawsuit), and help preserve rights.
Practical tips
- Act quickly to gather documentation and seek legal advice; deadlines for administrative charges and lawsuits can be short.
- If offered severance, ask for time to consult an attorney before signing.
- Keep communications professional and preserve copies of all correspondence with the employer.
When to seek help
Contact a qualified employment attorney if you believe your termination was based on discrimination, retaliation, a statutory violation, or a breach of contract. An attorney can explain applicable deadlines, potential remedies, and next steps for filing an administrative charge or lawsuit.