Can your employer retaliate for a workers’ comp claim?

On Behalf of | Jun 11, 2026 | Workers' Compensation

Filing a workers’ compensation claim is your legal right in New Jersey. Still, some employers respond with actions that could cost you your job or income.

What the law says about retaliation

New Jersey law makes employer retaliation illegal under N.J.S.A. § 34:15-39.1. This provision of the New Jersey Workers’ Compensation Act bars employers from firing or discriminating against you for claiming or attempting to claim benefits. It also protects employees who testify in a workers’ compensation proceeding.

Courts have extended these protections further. In Lally v. Copygraphics, 85 N.J. 668 (1981), the New Jersey Supreme Court recognized a private cause of action you can bring in Superior Court. This means you may seek compensatory and punitive damages beyond what the Division of Workers’ Compensation offers.

Examples of prohibited retaliation

Retaliation is not limited to termination. Your employer may also violate the law through:

  • Demotion or reduced hours: Cutting your responsibilities or schedule after you file.
  • Denial of promotion or raises: Passing you over for opportunities tied to your claim.
  • Hostile treatment: Unwarranted discipline, verbal abuse, or micromanagement.
  • Intimidation: Pressuring you to drop your claim or return before medical clearance.
  • Obstruction: Blocking the claim process in bad faith.

Even subtle changes in your treatment could qualify if they are linked to your claim.

How to prove a retaliation claim

To succeed on a retaliation claim, you need to show two things. First, you made or attempted to make a workers’ compensation claim. Second, your employer took adverse action because of that claim.

New Jersey courts have held that you do not need to file a formal petition to trigger these protections. In Galante v. Sandoz, Inc., 192 N.J. Super. 403 (Law Div. 1983), the court found that notifying your employer and asking how to have medical bills paid may be enough. Acting early to document incidents can strengthen your position.

Know your options before taking action

You may be able to file a complaint with the New Jersey Division of Workers’ Compensation. You could also have a claim under the Americans with Disabilities Act or the Conscientious Employee Protection Act. If you prevail, remedies may include reinstatement and lost wages. An attorney can help you understand your options.