Written By: Corey Meaux
Can I terminate an employee who has an open workers’ compensation claim? I’ve been asked this question numerous times throughout my time defending against workers’ compensation claims. The short is “yes.” However, the reason for the termination must be legitimate, i.e. it must be based on your company’s policies without directly retaliating against your injured employee.
Louisiana law protects employees from retaliatory actions related to workers’ compensation claims. These protections ensure that workers can exercise their rights under the Workers’ Compensation Act without fear of being unfairly penalized. Retaliation occurs when an employer takes adverse action against an employee in response to their workers’ compensation claim. This includes terminating their employment, as well as demoting, harassing, or disciplining the employee without merit. Employers who violate this law may face severe legal consequences, including penalties.
However, the law against retaliation does not give an injured employee free reign during their claim, and it certainly does not keep you from terminating that employee based on valid grounds. This is especially important when you’re able to return an employee to work with restrictions. Examples of valid reasons for terminating the employment of an employee receiving workers’ compensation benefits include: the employer is terminating a contract employee for reasons related to the contract; the employee has failed to show up to work even though you are able to provide work within their restrictions; violation of company policy, i.e. fighting with other employees upon their return or a failed drug test upon their return to work; and/or financial reasons, such as layoffs. Also, if your company has a general policy regarding an employee’s leave of absence, which may include workers’ compensation, you may follow that policy for any employee who is receiving workers’ compensation benefits. I have one such client who has a policy of terminating any employee’s employment if they have failed to work for one full year. Because this applies to any employee, this is not considered to be retaliation against the singular employee receiving workers’ compensation benefits.
My advice to any employer is to keep your policies consistent across the board for all employees, even if they are on a leave of absence or receiving workers’ compensation benefits. You need to keep detailed records of any conversations you have with your injured employee along with the rationale behind any termination of employment. Remember, if it isn’t in writing, you cannot adequately prove that you acted reasonably. Lastly, you should NEVER treat an injured employee with distain or disrespect.
