Can I Sue My Employer? A California Worker's Guide

You can sue your employer in California when it violates the law, such as by firing you for an illegal reason, discriminating or harassing you, refusing to pay wages you earned, or punishing you for asserting your rights. You generally cannot sue simply because a boss was unfair or made a decision you disagree with. The line is whether a law was broken, not whether you were treated badly.

If you are reading this, something happened at work and you are trying to figure out whether you have any recourse. Below, we cover what you can actually sue your employer for in California, the situations where suing is harder, the deadlines that apply, what you can recover, and the practical first steps.

This article is general information about California law, not legal advice. Reading it does not create an attorney-client relationship.

What can you sue your employer for in California?

You can sue a California employer for conduct the law specifically prohibits. The most common claims are wrongful termination, discrimination, harassment, retaliation, unpaid wages and overtime, and denial of protected leave. Each has its own rules and deadlines, but they share a common thread: the employer did something the law forbids, not merely something you found unfair.

Here are the claims we see most often, and where you can read more about each.

• Wrongful termination, when you were fired for an illegal reason such as discrimination, retaliation, or refusing to break the law. See our guide to wrongful termination in California.
• Sexual harassment or a hostile work environment. See sexual harassment at work in California.
• Unpaid wages, overtime, or missed meal and rest breaks. See unpaid wages and overtime in California.
• Pregnancy discrimination, or denial of pregnancy leave or accommodation. See pregnancy discrimination in California.
• Discrimination based on a protected characteristic such as race, age, disability, religion, or national origin.
• Retaliation or whistleblower claims, when you were punished for complaining about illegal conduct or asserting a workplace right.

When can you not sue your employer?

You generally cannot sue your employer just because you were fired without a good reason, treated harshly, or passed over unfairly. California is an at-will state, so an employer can end employment for any reason that is not illegal. Being unfair, wrong about the facts, or a difficult boss is not, by itself, against the law.

Two other limits come up often. First, if you were physically injured on the job, workers' compensation is usually your exclusive remedy against the employer, rather than a lawsuit in court, though there are exceptions. Being punished for filing that claim is one of them, which we cover in can you be fired for filing a workers' comp claim, and late benefit payments carry their own automatic penalty. Second, if you signed an arbitration agreement, you may have to bring your claim in private arbitration instead of court. That does not erase your claim, and certain representative claims for Labor Code penalties cannot be waived, but it changes where and how the case proceeds. Whether an arbitration agreement is enforceable is its own fact-specific question.

Do you have to file with a government agency first?

For many claims, yes. Discrimination, harassment, and retaliation claims under California's Fair Employment and Housing Act require you to file a complaint with the California Civil Rights Department and obtain a right-to-sue notice before you can go to court. This is called administrative exhaustion, and skipping it can sink an otherwise valid case.

You can usually request an immediate right-to-sue notice from the California Civil Rights Department (opens in a new tab) so you can move directly to court. Wage claims are different. You can either file with the Labor Commissioner or file a lawsuit, depending on your goals. Because the right path depends on the type of claim and what you want to achieve, this is a good thing to sort out early, before a deadline forces the decision for you.

How long do you have to sue your employer in California?

The deadline depends on the type of claim, and several are short. Discrimination and harassment claims run through the Civil Rights Department first and then give you one year from the right-to-sue notice. A public-policy wrongful termination claim generally has two years. Wage claims usually have three to four years. Missing a deadline can end a strong case before it starts.

These are outer limits, and the safest assumption is that your clock is already running. If more than one claim applies to your situation, they can each carry a different deadline, which is one reason it helps to have the whole picture reviewed rather than guessing.

What can you recover if you sue your employer?

What you can recover depends on the claim, but California remedies are broad. Depending on the case, you may recover lost wages and benefits, compensation for emotional distress, statutory penalties, punitive damages, and your attorney's fees. Several California employment laws shift fees to the employer when you win, which changes the math on whether a case is worth pursuing.

For example, discrimination and harassment claims under the FEHA carry no statutory cap on compensatory or punitive damages, and wage claims can add interest, penalties, and fees on top of the unpaid amount. That said, no lawyer can promise a number. What any case is worth turns on the specific violations, the harm you suffered, and the facts you can prove.

Keep in mind that a recovery is not the same as what you take home. Most of it is taxable, and the wage portion arrives with payroll taxes already withheld. Our guide to how employment settlements are taxed in California walks through which pieces are taxed and how each is reported.

Do you need a lawyer to sue your employer?

You are not required to have a lawyer, but employment cases are procedural and deadline-driven, and employers are almost always represented. Because many California employment statutes shift attorney's fees to the employer when the worker wins, it is often possible to be represented without paying out of pocket. The economics are usually better than people expect.

A consultation is also where you find out whether you even have a case worth bringing. A lawyer can look at the facts, identify which claims apply, flag the deadlines, and tell you honestly whether the numbers make sense. That is a very different thing from trying to reverse-engineer the answer from articles online, however good they are.

What to do first if you want to sue your employer

Start by writing down what happened, saving your documents, and getting the facts reviewed before a deadline passes. A clear timeline and your own copies of key records are what turn a general sense of being wronged into a claim someone can evaluate. Do this sooner rather than later, because access to workplace records tends to disappear once you leave.

• Write a dated timeline of what happened, who was involved, and who witnessed it.
• Save your own copies of pay stubs, reviews, emails, texts, your offer letter, and any handbook or policies, because you may lose access after leaving.
• Do not sign a severance agreement or release without understanding what rights you would be giving up.

If you think your employer crossed a legal line, the useful next step is to have someone look at the specifics. Justin Silverman represents workers across Los Angeles, and a consultation with our office is free. You can reach us at 818-585-1267 or through the contact form on our site. The firm has recovered over $12 million for clients in labor, employment, and injury matters. Past results do not guarantee a similar outcome, and every case depends on its own facts. You can also learn more about Justin Silverman or how we help employees on our practice areas.

This article is general information about California law and is not legal advice. Reading it does not create an attorney-client relationship. For advice about your specific situation, talk to a lawyer.