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Can You Be Fired While on Workers' Compensation in Colorado?

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Colorado law treats workers' compensation claimants as a protected class. Under the Colorado Anti-Discrimination Act (CADA) and the Workers' Compensation Act, an employer cannot fire an employee solely because they filed a claim or are receiving benefits, unless the termination is for a legitimate, non‑discriminatory reason that would have applied regardless of the claim.

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When Termination Is Permissible

Employers may still dismiss an employee on workers' comp if they can demonstrate a valid, non‑retaliatory cause—such as documented performance issues, violation of company policy, or a bona‑fide layoff affecting all staff. The key is that the reason must be independent of the employee's claim and consistently applied.

Common Employer Missteps

Problems arise when an employer:

  • Uses the injury as a pretext for termination.
  • Fails to follow its own progressive discipline procedures.
  • Discontinues benefits or pay without proper medical certification.

These actions can trigger a wrongful termination claim under Colorado law.

Employee Recourse

If you believe you were fired in retaliation for a workers' comp claim, you can:

  • File a complaint with the Colorado Division of Labor Standards and Statistics (DLSS) within 180 days.
  • Pursue a civil lawsuit for wrongful termination, typically within two years of the discharge.
  • Seek reinstatement, back pay, and damages for emotional distress.

Document all communications, performance reviews, and medical records to strengthen your case.

Practical Steps for Employees

1. Notify your employer in writing of the injury and start the claim promptly.2. Keep a detailed log of any disciplinary actions or changes in work conditions after filing.3. Consult a Colorado workers' comp attorney early to assess potential retaliation.

Comparison Table: Protected vs. Non‑Protected Terminations

AspectProtected TerminationNon‑Protected Termination
ReasonRetaliation for claim or benefit receiptLegitimate performance or business reason
Legal outcomeWrongful termination claim viableEmployer generally within rights
RemediesReinstatement, back pay, damagesNone specific to workers' comp

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