Wrongful Termination in California: A Complete Guide for Employees

Employment Law · December 20, 2025 · Khehra Law Corporation

California is an "at-will" employment state, meaning employers can generally terminate employees at any time and for any lawful reason. However, this principle has critical exceptions. If you were fired because of your race, gender, age, disability, pregnancy, or sexual orientation — or because you reported illegal activity, filed a workers' compensation claim, took protected medical leave, or refused to participate in unlawful conduct — your termination may be illegal under California law.

When Is a Termination "Wrongful"?

A termination is wrongful when it violates state or federal law, public policy, or the terms of an employment contract. The most common grounds include:

Discrimination-Based Termination

California's Fair Employment and Housing Act (FEHA) prohibits firing employees based on race, color, national origin, ancestry, sex, gender identity, gender expression, sexual orientation, age (40+), physical or mental disability, medical condition, genetic information, marital status, pregnancy, religion, or military/veteran status. The federal Civil Rights Act (Title VII), ADA, and ADEA provide additional protections.

Retaliation-Based Termination

It is illegal to fire an employee for reporting workplace safety violations (OSHA or Cal/OSHA), filing a wage and hour complaint, reporting discrimination or harassment, participating in a workplace investigation, filing a workers' compensation claim, taking or requesting FMLA/CFRA leave, or discussing wages or working conditions with coworkers (protected concerted activity under the NLRA).

Public Policy Violations

An employer cannot fire you for refusing to break the law, performing a legal obligation (such as jury duty or responding to a subpoena), or exercising a constitutional or statutory right (such as voting or filing a legal claim).

Breach of Contract

If you have a written employment contract, an implied contract created by employer representations (including statements in an employee handbook), or an oral promise of continued employment, your employer may be liable for breach of contract if they terminate you in violation of those terms.

Constructive Termination

If your employer made your working conditions so intolerable that any reasonable person would have felt compelled to resign, you may have a claim for constructive wrongful termination — even though you technically "quit."

Warning Signs of Wrongful Termination

  • You were fired shortly after filing a complaint, reporting a violation, or taking protected leave
  • You received consistently positive performance reviews but were suddenly terminated for vague "performance issues"
  • You were replaced by someone outside your protected class (younger, different race, different gender)
  • Your employer gave inconsistent or shifting explanations for the termination
  • Other employees who engaged in similar conduct were not fired
  • You were terminated after disclosing a pregnancy, disability, or medical condition

Damages Available

  • Lost wages and benefits — back pay from termination through resolution, plus front pay for future lost earnings
  • Emotional distress — compensation for anxiety, depression, humiliation, and other psychological harm
  • Punitive damages — in cases involving malicious, oppressive, or fraudulent conduct
  • Attorney fees and costs — recoverable in most employment cases under California law
  • Reinstatement — a court may order the employer to restore you to your position

How to File a Claim

Most discrimination and retaliation claims require filing with the California Civil Rights Department (CRD) within three years before you can file a civil lawsuit. Federal EEOC claims must be filed within 300 days. Other types of wrongful termination claims may have different deadlines. Contact an attorney promptly to determine which applies.

Call Khehra Law Corporation at (661) 383-9387 for a free, confidential consultation.

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