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Can You Be Fired While on Workers’ Compensation in New York?

Jan 9, 2026

Getting injured at work is stressful enough. On top of physical pain and medical appointments, many workers immediately begin to worry about their job. A common and very real fear is: “Can my employer fire me for being on workers’ compensation?”

At WRKRS Law Firm PLLC, we hear this concern every day from workers across New York. The short answer is complicated — but the most important thing to know is this: your employer cannot legally fire you because you filed a workers’ compensation claim. When termination happens for that reason, it may qualify as illegal retaliation.

New York Is an At-Will Employment State — With Important Limits

New York follows the doctrine of at-will employment, meaning employers can generally terminate employees for almost any reason, or no reason at all. However, at-will employment is not unlimited.

Employers may not terminate workers for reasons that violate state or federal law. Filing a workers’ compensation claim is a protected activity, and retaliation for exercising that right is prohibited.

This distinction is critical. While an employer may have broad discretion, they cannot use workers’ compensation as a reason to fire you.

What the Law Says About Workers’ Compensation Retaliation

Under New York Workers’ Compensation Law, employers are prohibited from retaliating against employees who:

  • Report a workplace injury
  • File a workers’ compensation claim
  • Seek medical treatment for a work-related injury
  • Testify or participate in a workers’ compensation proceeding

If an employer fires, disciplines, or otherwise punishes a worker for any of these actions, it may constitute unlawful retaliation.

When Termination May Be Legal

Not every termination that happens while a worker is on workers’ compensation is automatically illegal. Employers may still terminate employees for legitimate, non-retaliatory reasons.

Examples may include:

  • Documented performance issues that existed before the injury
  • Company-wide layoffs or restructuring
  • Violation of company policies unrelated to the injury
  • Business closures or job eliminations

However, employers often claim these reasons to mask retaliation, which is why timing, documentation, and patterns matter.

Red Flags That Suggest Illegal Retaliation

Certain warning signs strongly suggest a termination may be unlawful.

Common red flags include:

  • Being fired shortly after filing a workers’ compensation claim
  • Sudden disciplinary write-ups after an injury
  • Inconsistent or changing explanations for termination
  • Being treated differently than other employees with similar issues
  • Pressure to resign instead of being formally terminated

At WRKRS, we closely analyze these details to determine whether retaliation occurred.

What If Your Employer Says They “Can’t Hold Your Job”?

Some employers claim they are unable to hold a job open while a worker recovers. While prolonged absences can create operational challenges, this does not give employers the right to retaliate.

Depending on the circumstances, additional laws may apply, including:

  • Disability accommodation requirements
  • Medical leave protections
  • Anti-discrimination laws

Employers must evaluate reasonable accommodations before taking adverse action, especially when injuries result in temporary or permanent limitations.

How Termination Affects Your Workers’ Compensation Benefits

Being fired does not automatically end your workers’ compensation benefits.

Important points to understand:

  • Medical benefits usually continue even after termination
  • Wage replacement benefits may continue if you remain disabled
  • Your claim does not disappear because your employment ends

Insurance companies may attempt to use termination as a reason to reduce or deny benefits, which is why legal representation is so important during this period.

What to Do If You’re Fired While on Workers’ Compensation

If you are terminated after filing a workers’ compensation claim, it’s important to act carefully and strategically.

Recommended steps include:

  • Do not sign severance agreements without legal review
  • Save termination letters, emails, and messages
  • Document timelines related to your injury and claim
  • Avoid confrontations that could be used against you
  • Contact a workers’ compensation and employment attorney immediately

Early legal guidance can preserve evidence and protect your rights.

How WRKRS Law Firm Protects Injured Workers

At WRKRS Law Firm PLLC, we take a comprehensive approach when workers face termination after an injury.

Our team:

  • Investigates whether retaliation occurred
  • Communicates with employers and insurers
  • Protects ongoing workers’ compensation benefits
  • Pursues retaliation or wrongful termination claims when appropriate
  • Represents workers before the Workers’ Compensation Board and other forums

We understand employer tactics — and we know how to challenge them effectively.

You Have Rights — Even After an Injury

No worker should fear losing their job simply for getting hurt at work. New York law recognizes that injured employees deserve protection, not punishment.

At WRKRS, we believe workers should never have to choose between their health and their livelihood. If you were fired while on workers’ compensation, or fear it may happen, you don’t have to face it alone.

Contact WRKRS Law Firm PLLC for a confidential consultation. We’ll help you understand your rights, protect your benefits, and hold employers accountable when they cross the line.

Because at WRKRS, we stand with the workers who keep New York running.

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