How Retaliatory Discharge Claims Differ From Wrongful Termination

April 15 , 2025

Wrongful termination and retaliatory discharge are two employment law claims that often get confused, but they have distinct legal definitions and requirements. While both involve employees being fired unlawfully, retaliatory discharge is a specific type of wrongful termination that occurs when an employer punishes an employee for engaging in legally protected activities.

Illinois and federal laws provide protections for workers who report illegal activities, file workers’ compensation claims, or exercise their rights under employment laws. However, proving a retaliatory discharge case requires specific evidence and a clear connection between the protected activity and the termination. Understanding the legal distinctions between these claims is critical for employees who believe they have been wrongfully discharged.

What Is Wrongful Termination?

Wrongful termination occurs when an employee is fired in violation of an employment contract, company policies, or employment laws. Illinois follows the employment-at-will doctrine, which means that employers can terminate employees for almost any reason, except for illegal reasons.

Common Illegal Grounds For Wrongful Termination Include:

• Discrimination: Terminating an employee based on race, gender, age, disability, religion, or other protected characteristics under federal and Illinois laws.
• Violation of Public Policy: Firing an employee for reasons that go against fundamental public policies, such as refusing to commit an illegal act.
• Breach of Contract: Firing an employee in violation of an employment contract that guarantees specific rights or terms of employment.

What Is Retaliatory Discharge?

Retaliatory discharge is a specific type of wrongful termination where an employer fires an employee in response to protected activities, such as reporting illegal conduct or exercising legal rights. Unlike general wrongful termination claims, retaliatory discharge requires proof that the termination was directly linked to the employee’s protected activity.

Examples Of Retaliatory Discharge:

• An employee is fired after filing a workers’ compensation claim.
• A whistleblower is terminated for reporting illegal or unethical activities within the company.
• An employee is dismissed for filing a discrimination complaint with the Equal Employment Opportunity Commission (EEOC).

Under Illinois law, retaliatory discharge is illegal, even in at-will employment situations. Employees who believe they were terminated in retaliation can pursue legal action against their employer.

Legal Protections Under Illinois And Federal Law

Illinois Retaliatory Discharge Laws

Illinois recognizes retaliatory discharge as an exception to the employment-at-will doctrine. Courts have consistently ruled that firing an employee for engaging in legally protected activities violates public policy.

Some key Illinois laws that protect employees include:

• Illinois Whistleblower Act (740 ILCS 174/1 et seq.) – Prohibits employers from retaliating against employees who report unlawful conduct to authorities.
• Illinois Workers’ Compensation Act (820 ILCS 305/4(h)) – Protects employees from termination for filing a workers’ compensation claim.
• Illinois Human Rights Act (775 ILCS 5/6-101) – Prevents employers from retaliating against employees who oppose discrimination or participate in investigations.

Federal Retaliation Protections

Federal laws also provide strong protections against employer retaliation, including:

• Title VII Of The Civil Rights Act (42 U.S.C. § 2000e-3(a)) – Prohibits retaliation against employees who report workplace discrimination.
• Americans With Disabilities Act (ADA) (42 U.S.C. § 12203) – Protects employees from retaliation when they request accommodations for a disability.
• Occupational Safety and Health Act (OSHA) (29 U.S.C. § 660(c)) – Prevents retaliation against workers who report unsafe working conditions.

Employees in Illinois can file claims under both state and federal laws if they believe they have been unlawfully discharged.

Proving A Retaliatory Discharge Claim

To succeed in a retaliatory discharge case, employees must prove:

1. They Engaged In A Protected Activity – Such as reporting illegal activity, filing a claim, or participating in a workplace investigation.
2. They Suffered An Adverse Employment Action – Such as being fired, demoted, or otherwise penalized by the employer.
3. There Is A Direct Link Between The Protected Activity And The Termination – The employer’s action must be in direct response to the employee’s legally protected activity.

Employers often try to justify terminations by citing performance issues or company restructuring. However, strong evidence, such as emails, performance reviews, or witness testimony, can help establish a retaliatory motive.

What Employees Should Do If They Suspect Retaliation

Employees who believe they have been wrongfully terminated in retaliation should take the following steps:

• Document Everything – Keep records of conversations, emails, and any retaliatory actions taken by the employer.
• File A Complaint – Depending on the nature of the retaliation, employees may file complaints with the Illinois Department of Human Rights (IDHR), the EEOC, or OSHA.
• Consult an Employment Attorney – A legal professional can assess the case, gather evidence, and file a lawsuit if necessary.

Illinois law provides strong protections against retaliation, and employees who take action can seek compensation, reinstatement, or other legal remedies.

Wrongful Retaliation FAQs

How Can I Prove My Employer Fired Me In Retaliation?

Employees can use emails, witness statements, performance reviews, and other records that establish a connection between their protected activity and the termination. If an employer’s explanation for firing an employee seems inconsistent or pretextual, it may support a retaliation claim.

What Damages Can I Recover In A Retaliatory Discharge Lawsuit?

Employees who succeed in a retaliatory discharge lawsuit may recover lost wages, benefits, emotional distress damages, and attorney fees. In some cases, courts may order reinstatement to the employee’s previous position.

Can I Sue My Employer For Wrongful Termination And Retaliatory Discharge At The Same Time?

Yes. A wrongful termination claim can be broader, covering violations of employment contracts or discrimination laws, while a retaliatory discharge claim specifically addresses being fired for engaging in protected activities.

Is My Job Protected If I Report Illegal Conduct Within My Company?

Yes. Both Illinois and federal whistleblower laws protect employees from termination when they report fraud, safety violations, or illegal activity. Employers who retaliate against whistleblowers can face legal penalties.

What Should I Do If I Believe I Was Fired For Filing A Workers’ Compensation Claim?

Under the Illinois Workers’ Compensation Act (820 ILCS 305/4(h)), firing an employee for filing a claim is illegal. Employees should document the retaliation and consult an attorney immediately.

How Long Do I Have To File A Retaliatory Discharge Claim In Illinois?

The statute of limitations varies depending on the type of claim. For example, claims under the Illinois Human Rights Act generally must be filed within 180 days with the IDHR, while lawsuits based on common law retaliatory discharge must be filed within five years.

What Should I Do If My Employer Retaliates Against Me But Doesn’t Fire Me?

Retaliation can include demotions, pay cuts, harassment, or disciplinary actions. Even if an employee is not fired, they may still have grounds for a retaliation claim under Illinois and federal laws.

Call Our Chicago Retaliatory Discharge Lawyer For A Consultation

At the Law Office of Michael T. Smith & Associates, we fight for employees who have been wrongfully terminated or retaliated against for exercising their legal rights. If you believe you were fired in retaliation for reporting illegal conduct, filing a complaint, or asserting your workplace rights, you may have a valid legal claim.

To receive your free consultation, contact our Chicago retaliatory discharge lawyer at the Law Office of Michael T. Smith & Associates when you call (847) 450-1103. Our firm proudly represents employees in Chicago and throughout Illinois from our office in Lisle.

msaawe

See Full Bio