Can You Be Fired While on Workers’ Compensation in Vermont?

If you’ve been injured at work and are receiving workers’ compensation benefits, one of the first worries that might cross your mind is whether your job is safe. It’s a fair concern, and one that many Vermont workers have. The short answer is: Vermont law offers real protections against retaliation, but the situation can be more complicated than it first appears.
What Vermont Law Says About Retaliation
Vermont has a clear statute on this. Under 21 V.S.A. § 710, it is illegal for an employer to discharge or discriminate against an employee because that employee has asserted or attempted to assert a workers’ compensation claim. Employers also cannot refuse to hire applicants who have previously filed for workers’ compensation benefits. These protections are meant to ensure that workers can exercise their legal rights without fear of losing their jobs.
This law matters because, without it, workers might feel pressured to stay quiet about an injury just to protect their employment. The statute is meant to prevent exactly that kind of pressure.
Can an Employer Still Let You Go?
Here’s where things get more nuanced. Vermont is an at-will employment state, which means employers can generally terminate employees for many reasons, as long as those reasons are not unlawful. So while an employer cannot fire you specifically because you filed a workers’ compensation claim, they may be able to let you go for other legitimate business reasons, even while you are out on workers’ comp.
For example, an employer might conduct a round of layoffs that affects your position, or your role might be eliminated for unrelated business reasons. The law doesn’t give injured workers complete job immunity, but it does prohibit retaliation tied directly to the workers’ compensation claim.
This distinction can be hard to spot from the inside. If your termination happens shortly after you file a claim or report an injury, it’s worth taking a closer look at the timing and circumstances.
What Does Retaliation Actually Look Like?
Retaliation doesn’t always come in the form of a termination notice. It can be more subtle. Some workers on workers’ compensation find that they’re demoted when they return, given worse schedules, passed over for raises, or subjected to increased scrutiny. All of these actions can potentially be considered retaliatory if they are connected to the workers’ compensation claim, not to a legitimate workplace reason.
If you believe you’ve been the target of retaliation, documenting everything matters. Keep records of communications from your employer, save any written notices, and note dates and details of any changes to your employment status.
What About Returning to Work?
Employers sometimes offer modified or light-duty positions to workers who are recovering from injuries. This is allowed under Vermont law, but the work offered must be within your medical restrictions. Workers are not required to accept a position that exceeds what their doctor says they can safely do. If you refuse light-duty work that is genuinely within your limitations, however, that could affect your wage replacement benefits.
The return-to-work process can be a point of tension between injured workers and employers. Understanding your rights during this phase is just as important as understanding what protections apply while you’re out of work.
Contact Our Team for Guidance
If you suspect your employer has retaliated against you for filing a workers’ compensation claim, or if you have questions about your rights during recovery, you don’t have to figure it out alone. At Sluka Law PLC, our Vermont workers’ compensation lawyers help injured workers understand their options and stand up for their rights. Contact us today for a free consultation.
Source:
legislature.vermont.gov/statutes/section/21/009/00710
