Getting fired from your job can be stressful, humiliating, and financially devastating. But not every firing is illegal. In California, many workers are employed “at-will,” meaning they can be terminated for almost any reason—or no reason at all. So what actually counts as wrongful termination under California law?
At Employees First Labor Law, we help California workers hold employers accountable when they cross the line. Here’s what you need to know about wrongful termination—what qualifies, what doesn’t, and what you can do about it.
What Does Count as Wrongful Termination?
Even in an at-will employment state like California, there are critical exceptions. It is illegal for an employer to fire you for any of the following reasons:
1. Discrimination Based on a Protected Characteristic
Under the Fair Employment and Housing Act (FEHA) (Cal. Gov. Code §§ 12900–12996), it is illegal to terminate someone due to:
- Race or color
- National origin or ancestry
- Religion
- Sex, gender, gender identity, or gender expression
- Sexual orientation
- Disability or medical condition
- Age (40+)
- Pregnancy or breastfeeding status
- Marital status
- Military or veteran status
If you were fired based on any of the above, you may have a valid claim under California discrimination laws.
Learn more on our Employment Law page
2. Retaliation for Protected Activity
Employers cannot fire you for:
- Reporting harassment or discrimination
- Taking protected medical or family leave (CFRA/FMLA)
- Filing a workers’ compensation claim
- Reporting wage violations or unsafe work conditions
- Whistleblowing on illegal or unethical conduct
This is known as retaliatory termination, and it is one of the most common bases for wrongful termination claims.
Visit our Retaliation & Whistleblower page
Learn more about Whistleblower Protections in California
3. Violation of Public Policy
If you’re fired for refusing to engage in illegal activity, serving jury duty, taking time off to vote, or reporting criminal conduct (e.g., to OSHA or law enforcement), it may qualify as a wrongful termination in violation of public policy.
4. Breach of Contract
If you have an employment contract—written or implied—that limits the employer’s ability to fire you (e.g., “for cause only”), and the termination violates those terms, you may have a breach of contract claim. Contact EFLL to evaluate your agreement.
5. Constructive Discharge
If your employer makes your working conditions so intolerable that no reasonable person would stay, and you’re effectively forced to quit, that may count as a constructive termination—legally treated the same as being fired.
Learn more about Hostile Work Environments
What Doesn’t Count as Wrongful Termination?
Unfortunately, many firings that feel unfair may not be illegal. Employers can lawfully terminate you for:
- Poor performance or misconduct (as long as it’s not pretextual)
- Restructuring or layoffs (unless discriminatory)
- Clashes with coworkers or management
- No reason at all, if it’s not discriminatory or retaliatory
In short: “Unfair” is not the same as “unlawful.” But many employers lie or give vague reasons to hide the real (illegal) reason—that’s where we come in.
What If the Termination Caused Mental or Emotional Harm?
If being wrongfully terminated caused you to suffer anxiety, depression, or emotional distress, you may be eligible for a workers’ compensation claim for psychiatric injury under California Labor Code § 3208.3.
Explore our Workers’ Compensation legal services
Can you file a psych claim after wrongful termination? Find out here
What Can You Recover in a Wrongful Termination Case?
- Lost wages and benefits
- Compensation for emotional distress
- Reinstatement (in rare cases)
- Attorneys’ fees and legal costs
- Punitive damages for willful or malicious conduct
What Should You Do If You Think You Were Wrongfully Terminated?
- Document everything – Emails, texts, write-ups, reviews, and notes about what happened
- Don’t sign anything without legal advice—especially a severance agreement
- Speak with an employment attorney – The sooner the better. Strict deadlines apply.
Request a free consultation with EFLL
Fired for the Wrong Reason? We’re Here to Fight Back.
At Employees First Labor Law, we’ve recovered millions of dollars for workers who were wrongfully terminated, harassed, or pushed out. You only get one chance to protect your rights. Let us fight for you.
📞 Free, confidential consultation available now.
Submit your case online or give us a call.
