Can I Be Fired For Reporting Illegal Conduct At Work In California?

Retaliation For Reporting Illegal Activity In The Workplace

California law provides broad protections for workers who report illegal conduct at work. Many employees in California hesitate to speak up about unlawful behavior out of fear of losing a job, facing discipline, or damaging future employment prospects. These concerns are valid, but state law recognizes the importance of protecting individuals who expose violations of the law in the workplace.

Retaliation by an employer after an employee reports illegal activity is unlawful under California law. Termination, demotion, harassment, or other adverse actions taken in response to a report of wrongdoing may give rise to a claim for unlawful retaliation. These protections apply to both public and private employees.

The law encourages employees to report violations such as wage theft, safety violations, discrimination, harassment, environmental violations, and fraudulent practices. An employee cannot be lawfully fired simply for bringing illegal conduct to light.

Whistleblower Protections Under California Labor Code

California Labor Code § 1102.5 is the central statute protecting whistleblowers. Under this law, an employer is prohibited from retaliating against an employee who reports what the employee reasonably believes to be a violation of state or federal law. The report may be made to a government agency, law enforcement, a supervisor, or another employee with authority to investigate the issue.

The law also protects employees who refuse to participate in illegal activities. If a worker refuses to comply with a directive that would violate the law and is terminated as a result, that may also be considered unlawful retaliation under Labor Code § 1102.5(c).

Importantly, the law applies regardless of whether the reported conduct is ultimately found to be illegal. What matters is whether the employee had a reasonable belief that the conduct violated the law.

Burden Of Proof In Retaliation Cases

In 2020, the California legislature strengthened employee protections by amending the burden of proof in whistleblower retaliation claims. Under California Labor Code § 1102.6, once an employee establishes that protected activity was a contributing factor in the adverse employment action, the burden shifts to the employer to prove by clear and convincing evidence that the same decision would have been made even without the protected activity.

This shift makes it easier for employees to hold employers accountable. It also incentivizes employers to document legitimate performance concerns clearly and consistently.

Additional Protections Under The Fair Employment And Housing Act (FEHA)

California’s Fair Employment and Housing Act (FEHA), found in Government Code § 12940(h), also prohibits retaliation against employees who report or oppose discrimination or harassment. Under this law, an employee who makes a good-faith complaint about workplace harassment or discrimination based on race, sex, age, disability, or other protected characteristics cannot be fired, demoted, or disciplined in retaliation.

FEHA also protects those who participate in internal investigations or testify in proceedings related to workplace discrimination.

Reporting Safety Violations And Cal/OSHA Protections

California employees are protected when reporting workplace safety issues under Labor Code § 6310. This includes complaints to Cal/OSHA or internal reports regarding unsafe working conditions, defective equipment, or practices that place workers at risk.

Any discharge or discrimination based on such reports is prohibited, and remedies may include reinstatement, back pay, and penalties.

Legal Remedies For Wrongful Termination In Retaliation Cases

When an employer retaliates against an employee for reporting illegal conduct, several remedies may be available:

• Reinstatement to the former position
• Recovery of lost wages and benefits
• Emotional distress damages
• Punitive damages, in some cases
• Civil penalties under Labor Code § 1102.5(f)
• Attorneys’ fees and court costs

A lawsuit must typically be filed within a specific time frame, so acting quickly to preserve legal rights is important.

Leave Of Absence Laws And Related Protections

California law also provides leave rights for employees who need time off due to retaliation-related stress or injury. Under the California Family Rights Act (CFRA) and the federal Family and Medical Leave Act (FMLA), eligible employees may take protected leave for serious health conditions, including mental health conditions related to workplace stress.

Employers may not interfere with or retaliate against employees for taking or requesting protected leave under Government Code § 12945.2. An employee fired while on qualifying medical leave may have additional claims under both leave laws and retaliation statutes.

California Reporting Unlawful Conduct FAQs

Is It Illegal To Fire An Employee For Reporting Unlawful Behavior To A Supervisor?

Yes. If an employee makes a good-faith report to a supervisor or manager about behavior that the employee reasonably believes is unlawful, and the employer later fires that employee in response, it may be considered retaliation under California Labor Code § 1102.5. The protection applies even if the report is made internally rather than to an outside agency.

Does An Employee Need To Prove The Employer Actually Broke The Law?

No. The law protects employees who report conduct they reasonably believe to be unlawful. Even if an investigation shows no legal violation occurred, the employee is still protected as long as the belief was honest and reasonable under the circumstances.

Are There Protections For Reporting Discrimination Or Harassment?

Yes. California Government Code § 12940(h) prohibits retaliation for opposing or reporting harassment, discrimination, or other conduct prohibited by FEHA. An employee who reports such behavior cannot be terminated, demoted, or disciplined for doing so, regardless of whether the complaint is ultimately substantiated.

What Should An Employee Do After Being Fired For Reporting Illegal Conduct?

The employee should gather relevant documents, such as performance reviews, emails, and witness contact information. A written timeline of events is also useful. Consulting an employment law attorney can help determine whether legal action is appropriate and which laws may apply.

Can An Employer Fire An Employee For Refusing To Break The Law?

No. Labor Code § 1102.5(c) makes it unlawful for an employer to retaliate against an employee who refuses to participate in an activity that would result in a violation of law. Terminating an employee for that reason may give rise to a wrongful termination claim under California law.

Are Employees Protected For Reporting To A Government Agency Like Cal/OSHA Or The Labor Commissioner?

Yes. Reports to government agencies are protected under Labor Code § 1102.5(b), and specific statutes also protect employees who report to Cal/OSHA, the Labor Commissioner, or similar agencies. These protections apply even if the report was made anonymously or without using internal complaint channels.

Can Emotional Distress Be Recovered In A Retaliation Lawsuit?

Yes. Emotional distress damages may be awarded if retaliation caused anxiety, humiliation, or psychological harm. In some cases, punitive damages may also be awarded if the employer’s conduct was malicious or reckless.

How Long Does An Employee Have To File A Lawsuit For Retaliation?

The time limit depends on the specific statute involved. For Labor Code § 1102.5 claims, an employee generally must file within three years. For FEHA-based retaliation claims, a complaint must first be filed with the California Civil Rights Department (CRD) within one year. Timely legal advice is critical to avoid missing these deadlines.

Call Law Office of Joseph Richards, P.C. For Exceptional Representation

California law protects workers who speak out against illegal conduct. When a person is fired or mistreated for reporting wrongdoing, legal protections may apply under multiple state statutes. Enforcement of these rights helps promote fairness and accountability in the workplace.

For those who believe retaliation occurred after reporting unlawful behavior, contact the Orange County employment law attorney at Law Office of Joseph Richards, P.C. by calling (888) 883-6588 to receive your free consultation. The firm represents employees across California in workplace retaliation and wrongful termination matters.