Most people know California is an at-will employment state. What far fewer people understand is that “at-will” has real limits, and those limits may protect a lot of employees who don’t realize it.

If your employer fired you and something about it felt wrong, it may be worth taking a closer look. Potential wrongful-termination claims can involve discrimination, retaliation, protected leave, whistleblowing, contractual restrictions, or other violations of law. This article walks through factors attorneys often evaluate, what information may be useful to document, and when consulting an attorney may make sense.

What “At-Will Employment” Actually Means in California

California Labor Code § 2922 generally presumes that employment without a specified term is at will. This means either party may ordinarily end the employment relationship, subject to contractual limitations and laws prohibiting termination for unlawful reasons.

California law, federal law, and decades of court decisions have carved out categories where firing an employee is illegal, regardless of at-will status. The question is whether they crossed one of those legal lines.

Six Factors That May Strengthen a Wrongful Termination Case in California

1 Your Termination May Have Been Discrimination Under FEHA

California’s Fair Employment and Housing Act (FEHA) generally prohibits employers with five or more employees from terminating or otherwise discriminating against someone because of a protected characteristic. Those characteristics include:

• Race, color, or ancestry
• National origin or ethnicity
• Sex, gender, gender expression, gender identity
• Sexual orientation
• Pregnancy, childbirth, or related conditions
• Disability (physical or mental)
• Age (40 and older)
• Religion
• Marital status
• Medical condition
• Military or veteran status

If you were fired and you belong to one of these groups, and the employer’s stated reason seems inconsistent with how they’ve treated other employees who don’t share your characteristic(s), that inconsistency is the core of a discrimination case.

2 You Filed a Complaint or Report Before Being Fired

A retaliation claim may arise when an employee engages in legally protected activity, the employer knows about that activity, and the employer takes an adverse action because of it.

Protected activities under California law may include:

• Reporting conduct the employee reasonably believes constitutes discrimination, harassment, retaliation, wage violations, safety violations, or other unlawful activity
• Filing a complaint with the California Civil Rights Department (CRD) or the EEOC
• Reporting suspected illegal activity (whistleblower protection under Labor Code § 1102.5)
• Requesting or taking qualifying protected leave
• Filing a workers’ compensation claim
• Refusing to participate in conduct the employee reasonably believes would violate the law

Close timing between protected activity and termination may be circumstantial evidence of retaliation, but timing alone does not establish a claim. Other relevant evidence may include the decision-maker’s knowledge, changing explanations, treatment of comparable employees, documented performance, and comments made before or after the protected activity.

3 Your Employer Violated a Written Contract or Implied Agreement

At-will employment applies when there’s no contract saying otherwise. Some employees have explicit contracts specifying the conditions under which termination is permitted. More common: implied contracts. Depending on their wording and the surrounding circumstances, employee handbooks, written policies, workplace practices, and assurances from authorized managers may provide evidence of an implied agreement limiting the employer’s ability to terminate. However, an implied contract is not created automatically, and clear at-will disclaimers may weigh against such a claim.

4 Your Firing Violated California Public Policy

Even without discrimination or retaliation, California courts may recognize a tort claim for terminations that violate “fundamental public policy” embedded in constitutional provisions, statutes, or regulations. Cases that fit this category include employees fired for serving on jury duty, taking legally protected leave, refusing to commit perjury or fraud, or reporting workplace safety violations to Cal/OSHA.

5 Your Employer Didn’t Follow Their Usual or Written Process

An employer’s failure to follow a progressive-discipline policy or its usual procedures is not automatically unlawful, particularly if the policy is discretionary. However, an unexplained departure from established practice may be relevant evidence that the employer’s stated reason was not the real reason for the termination. In some circumstances, the policy may also be relevant to a contractual claim.

6 The WARN Act May Apply to a Mass Layoff, Closure, or Relocation

California’s WARN Act generally requires a covered establishment that employs or has employed at least 75 qualifying employees during the preceding 12 months to provide 60 days’ written notice before certain mass layoffs, closures, or relocations. A mass layoff generally involves 50 or more employees during a 30-day period. Exceptions and special rules apply. Affected employees may be entitled to back pay and benefits for the period of the violation, up to 60 days, subject to statutory limitations and defenses.

What You Can Do Right Now to Protect Your Case

Frequently Asked Questions