Short answer: California Labor Code section 132a makes it illegal for an employer to fire, threaten to fire, demote, or otherwise punish you because you were injured at work or because you filed, or said you would file, a workers’ compensation claim. A 132a claim is filed as a petition with the Workers’ Compensation Appeals Board (WCAB), not with the Labor Commissioner and not in civil court, and the petition must be filed within one year of the retaliatory act. The remedies are a penalty of up to $10,000, reinstatement, and reimbursement of lost wages and benefits. Retaliation that also involves disability discrimination or other protected activity may support a separate civil claim under the Fair Employment and Housing Act or other Labor Code provisions, which carry larger remedies and different deadlines.
Fear of retaliation for filing a workers’ compensation claim
When an employee sustains an injury at work, the law allows them to pursue a workers’ compensation claim for the injury, regardless of whether the employer was at fault. Many employees are reluctant to file because they believe it will lead to unfavorable treatment at work, and some employers actively discourage claims. Fear is often the reason injured workers give up benefits they are entitled to, or never tell the employer about the injury at all. It should not be. California requires employers to carry workers’ compensation insurance, the insurer rather than the employer pays most benefits, and the law gives injured workers specific protection against retaliation. This page explains that protection, how a claim is brought, and where the limits are.
What California law says
Labor Code section 132a declares that “there should not be discrimination against workers who are injured in the course and scope of their employment.” It makes it unlawful for an employer to discharge, threaten to discharge, or in any manner discriminate against an employee because the employee filed or intends to file a workers’ compensation claim, received a rating, award, or settlement, or testified in another worker’s workers’ compensation proceeding. An employer that violates the section is guilty of a misdemeanor in addition to the civil remedies described below.
Can my employer fire me for filing a workers’ compensation claim?
No. Your employer cannot discharge you, or threaten to discharge you, because:
- you submitted a workers’ compensation claim to the employer;
- you filed an application with the Workers’ Compensation Appeals Board to have your claim decided;
- you announced your intention to file a claim or an application for workers’ compensation benefits;
- you obtained a disability rating from a physician;
- you settled a workers’ compensation claim;
- you were awarded workers’ compensation benefits; or
- you testified, or intend to testify, in another employee’s workers’ compensation proceeding.
The California Supreme Court has also held that an employer may not discharge an employee because of the employee’s absence from work as a consequence of an industrial injury (Judson Steel Corp. v. Workers’ Comp. Appeals Bd. (1978) 22 Cal.3d 658), subject to the business-necessity limits discussed below.
If my employer does not fire me, can they retaliate in other ways?
Discharge is the clearest violation, but section 132a reaches any detrimental treatment imposed because of the injury or the claim. Common examples include:
- unjustified negative performance reviews;
- an unjustified pay cut or reduction in hours;
- refusing a promotion you would otherwise have received;
- demotion, loss of seniority, or reassignment to worse shifts or duties;
- refusing to reinstate you when you are released to return to work.
Example: You are injured at work and a doctor takes you off work for three weeks. You had just been promoted to a senior position, but your employer is unhappy that you are missing work and that you filed a workers’ compensation claim, and strips you of your seniority when you return. That action penalizes you for being injured and for making a claim, and it is the kind of conduct section 132a prohibits. Not every action that affects an injured worker is retaliation, however. A policy applied to all employees in the same way is generally not discriminatory. The question is whether the injured worker was singled out for worse treatment because of the injury or the claim.
Will I be reinstated after I recover?
Generally, yes. Refusing to reinstate an employee who has recovered and can perform the job is treated the same as discharging the employee. The WCAB recognizes two situations in which a refusal to reinstate is not a violation:
- You cannot perform the job because of permanent restrictions. An employer is not required to reinstate an employee who can no longer do the work. This depends on the actual restrictions and the actual job, not on assumptions about what an injured worker can do. An employer that refuses to reinstate or accommodate you because of your restrictions may also be liable for disability discrimination under California’s Fair Employment and Housing Act, which requires an interactive process and reasonable accommodation and carries remedies that section 132a does not; see our page on workplace disability discrimination.
- Business necessity. An employer is not required to hold a position open where a legitimate business reason unrelated to the injury, such as eliminating the position, makes reinstatement impossible. The employer has to prove the business necessity; the WCAB does not take the explanation on faith.
What remedies does section 132a provide?
If the WCAB finds a violation, the remedies are:
- an increase of your workers’ compensation benefits by one-half, up to a maximum of $10,000;
- reinstatement to your position;
- reimbursement of the wages and work benefits you lost because of the retaliation; and
- costs and expenses of the proceeding, up to $250.
The $10,000 penalty does not depend on proving a financial loss; it is a statutory penalty for the violation itself. Because the penalty is capped, a 132a claim is often pursued together with, not instead of, other claims when the facts support them (see below).
How and where a 132a claim is filed
A section 132a claim is brought before the Workers’ Compensation Appeals Board by filing a Petition for Increased Benefits under section 132a in your workers’ compensation case. If you do not already have a case open, an Application for Adjudication of Claim is filed first so that the WCAB has a case number to attach the petition to. The petition must be filed within one year of the discriminatory act, and the one-year limit is applied strictly. The claim is then litigated before a workers’ compensation judge, with the same conference and trial procedures used for other disputed issues in the case. The WCAB has exclusive jurisdiction over section 132a claims; the Labor Commissioner’s retaliation complaint process (used for complaints under Labor Code sections 98.6, 1102.5, and similar statutes) does not handle 132a claims, and a 132a claim cannot be filed in civil court.
Section 132a is not your only option
A 132a petition addresses retaliation for the injury or the workers’ compensation claim itself, and its remedies are limited. The California Supreme Court has held that section 132a is not the exclusive remedy for an injured worker who is fired, so the same facts can support separate civil claims (City of Moorpark v. Superior Court (1998) 18 Cal.4th 1143). Depending on the facts, those can include:
- disability discrimination, failure to accommodate, or failure to engage in the interactive process under the Fair Employment and Housing Act, which requires a complaint to the Civil Rights Department within three years and allows uncapped emotional distress damages, punitive damages, and attorney fees;
- wrongful termination in violation of public policy, a civil claim with a two-year deadline;
- retaliation for reporting a workplace safety violation or for other protected activity under Labor Code sections 1102.5, 6310, or 98.6, which are pursued in court or through the Labor Commissioner.
Which claims to bring, and in which forum, is a strategic decision that depends on the size of the losses, the strength of the evidence, and the deadlines. We handle the workers’ compensation and 132a side of these cases in-house and evaluate the civil claims with you.
Conclusion
Workers are often afraid to make workers’ compensation claims because of retaliation, or experience retaliation after an injury. California law protects you against that treatment, but the protection has to be invoked on time and in the right forum. If you are unsure whether what happened to you is retaliation, or which claim to file, contact us for a consultation about your workers’ compensation claim and your employer’s conduct. We will tell you what to expect, what the deadlines are, and how to handle your employer while the claim is pending. Call (888) 772-2529 or, in Spanish, (323) 310-4264; the consultation is free.
Retaliation for reasons other than a workers’ compensation claim, such as complaining about discrimination, harassment or unpaid wages, is handled under FEHA and the Labor Code instead. See our Los Angeles employee retaliation page. For the underlying injury claim itself, start with our workers’ compensation overview.
Sources: Cal. Lab. Code §§ 98.6, 132a, 1102.5, 6310; Cal. Gov. Code §§ 12940, 12960, 12965; Judson Steel Corp. v. Workers’ Comp. Appeals Bd. (1978) 22 Cal.3d 658; City of Moorpark v. Superior Court (1998) 18 Cal.4th 1143.
Reviewed by Shawn Abdi, Esq., Abdi & Associates, Inc. Last reviewed: September 4, 2026. Attorney advertising. This page is general information, not legal advice about your specific situation. Legal deadlines have exceptions; confirm the deadlines that apply to your case with a lawyer.