Wrongful Termination Claim

DEFINITION of 'Wrongful Termination Claim'

A claim filed in a court of law by someone who believes they were wrongly terminated from their job. Wrongful termination claims are filed when an employee believes they have been fired in violation of federal and state anti-discrimination laws, oral and written employment agreements, or labor laws, including collective bargaining laws. Employees who feel their termination was a form of sexual harassment or is in retaliation for having filed a complaint or claim against the employer may also file a claim.

BREAKING DOWN 'Wrongful Termination Claim'

Employees who have not been fired yet can negotiate for an appropriate severance package. If they have been fired, they could ask for repayment of money damages. When faced with this type of situation, it is recommended that the employee avoid acting on negative instincts toward the employer but instead contact an employees' rights lawyer for advice and representation. It's also essential to first read the employment contract to find out what rights and resources the employee has available.



RELATED TERMS
  1. Back Pay

    The amount of salary and other benefits that an employee claims ...
  2. Zero Layoff Policy

    A type of company policy that dictates that no employees would ...
  3. General Employer

    An employer who loans an employee to another business, and who ...
  4. Severance Package

    A bundle of pay and benefits offered to an employee upon being ...
  5. Unemployment Compensation Amendment ...

    A law in the United States that allows a terminated employee ...
  6. Financial Responsibility Law

    A law which requires an individual to prove that he or she is ...
Related Articles
  1. Professionals

    How To Handle A Wrongful Termination

    From the moment you lose your job to finding your next one, how do you handle being wrongfully terminated?
  2. Retirement

    How To Lay Off Staff

    Firing employees isn't easy, but it is simple: be honest, be compassionate and be quick
  3. Entrepreneurship

    7 HR Basics for Small Businesses

    Whether or not you are a fan of human resources, every employer needs to know the answers to these questions.
  4. Personal Finance

    Life Insurance Plans to Help Your Small Business Retain Employees

    How to use and design cash value life insurance plans as an incentive to help attract and retain key employees.
  5. Personal Finance

    The Difference Between Being Fired And Resigning

    Here's a rundown of how the two scenarios differ and what you need to know about each.
  6. Entrepreneurship

    Hiring? Regulations Small Businesses Need to Know

    When a small business becomes an employer, it has new responsibilities. Make sure you familiarize yourself with regulatory requirements.
  7. Personal Finance

    Your Boss Can't Do That! Laws That Protect Workers

    By federal law, American employees enjoy many legal protections that– among other things– provide a minimal level of income and make the workplace safer.
  8. Professionals

    What's Your Employee Value?

    Have you ever wondered how much you're worth to your boss? Here's a method for calculating that value.
  9. Entrepreneurship

    Company Policies you Did Not Know Might Be Illegal

    While you need an employee handbook to maintain law and order, trying to enforce illegal policies can land you in hot water.
  10. Personal Finance

    The Layoff Payoff: A Severance Package

    If you must leave your job, go out fighting for the best benefits you can get.
RELATED FAQS
  1. Does technology follow the law of diminishing marginal returns?

    Learn how workers in the technology industry are affected by the law of diminishing marginal returns, and note the ways that ... Read Answer >>
  2. What can cause the terminal growth rate to be negative?

    Learn about the assumptions built into terminal valuations and in what circumstances the applied terminal growth rate might ... Read Answer >>
  3. What does a merger or acquisition mean for the target company's employees?

    Learn about the likely impacts of a mergers & acquisition deal on the target company's employees, their benefits and adjusting ... Read Answer >>
  4. What is IRS Form W-2 used for?

    Any employer who pays an employee $600 or more for the year, including noncash forms of remuneration, must file a form W-2 ... Read Answer >>
  5. When evaluating terminal value, should I use the perpetuity growth model or the exit ...

    Examine the important calculation of a terminal value in discounted cash flow analysis, and learn which method of calculating ... Read Answer >>
  6. If my employment with my current firm terminates relatively soon, do I have two years ...

    Yes. When your employment ends with the current firm, your registration with the Financial Industry Regulatory Authority ... Read Answer >>
Hot Definitions
  1. Goldilocks Economy

    An economy that is not so hot that it causes inflation, and not so cold that it causes a recession. This term is used to ...
  2. White Squire

    Very similar to a "white knight", but instead of purchasing a majority interest, the squire purchases a lesser interest in ...
  3. MACD Technical Indicator

    Moving Average Convergence Divergence (or MACD) is a trend-following momentum indicator that shows the relationship between ...
  4. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
  5. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis for the reporting of earnings and the paying of dividends.
  6. Weighted Average Cost Of Capital - WACC

    Weighted average cost of capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is ...
Trading Center