Losing your job is stressful enough, but getting fired unfairly makes it even worse.

If you were wrongfully terminated in California, you might be wondering how much a settlement could be worth. The truth is, there’s no exact number since every case is different.

Some settlements are small, while others reach six or even seven figures.

In this post, we’ll break down the average wrongful termination settlement in California, and the factors that affect the final settlement amount.

Average Wrongful Termination Settlement In California

The average wrongful termination settlement in California is around $5,000 and $100,000.

If the case is pretty straightforward and the damage isn’t huge, you might be looking at something around $5,000 to $30,000.

But, if the firing was particularly unfair or you’ve got solid evidence (like emails or witnesses), the settlement could jump higher, maybe up to $100,000 or even more.

Now, if your case involves something more serious—like discrimination, harassment, or retaliation—the settlement can get much much bigger.

Also Read: Average Settlement For Unpaid Wages In California

Wrongful Termination Settlement Averages In California

Factors That Affect Wrongful Termination Settlements In California

There are a number of factors that affect the wrongful termination settlement amount you can win. Here are some of the biggest ones:

#1 Severity Of The Wrongful Termination

The severity of the wrongful termination is one of the most important factors.

Was it a minor mistake or something much more serious?

If you were fired because of discrimination, retaliation, or breach of contract, the severity of those actions will weigh heavily in the settlement amount.

The more severe the situation, the higher the potential settlement could be.

For example, if you were fired for reasons like race, gender, or disability discrimination, or even retaliation for whistleblowing, this is a serious issue. Companies are likely to offer a higher settlement to avoid further legal trouble and public backlash.

#2 Strength Of Evidence

The stronger the evidence you have, the higher the likelihood of a higher settlement.

If you have concrete proof like emails, witnesses, or documented instances of discrimination or retaliation, your case will be more compelling.

But if you don’t have much evidence—maybe just your word against theirs—it becomes harder.

This doesn’t just hurt your chances of winning, it could also mean your settlement might be smaller, since the company can argue that there’s not enough proof to justify a bigger payout.

Having strong evidence encourages the company to settle quickly to avoid a lengthy legal battle.

Also Read: How Much Are California Workers’ Compensation Settlements?

#3 Financial Impact On The Employee

The financial impact on you, the employee, plays a huge role in settlement discussions.

If you’ve been fired and it’s causing you severe financial strain, you may be entitled to more compensation. This includes wages you lost because of the firing, any benefits or perks you’ve lost out on, and even things like emotional distress.

The larger the financial impact, the more compensation you may receive to make up for what you’ve lost.

#4 Length Of Employment

How long you’ve worked for the company matters, too.

The longer you worked at the company, the more you might be entitled to.

Long-term employees have a stronger claim for lost wages and emotional distress because their termination represents a bigger disruption in their life. Employees who’ve worked for years might have a larger severance package or higher settlement offers.

It’s also harder for employers to argue that the firing was fair if the employee has been loyal for a long time.

#5 Company’s Size And Resources

The size and resources of the company can also affect your wrongful termination settlement.

Larger companies have more financial resources, so they might be more willing to settle quickly and for a higher amount to avoid a public lawsuit.

Smaller companies, on the other hand, might be less likely to offer a high settlement. They may try to fight the case more aggressively, especially if they feel they can win.

However, even small companies will sometimes settle to avoid the time and cost of going to court.

Also Read: Steps to Take When Conditions Are Unsafe in Your Workplace

#6 Punitive Damages

Punitive damages are additional damages awarded to punish the employer for particularly egregious behavior.

If your wrongful termination was based on particularly harmful actions—like intentional discrimination, harassment, or retaliation—you could be entitled to punitive damages on top of the actual damages for lost wages and emotional distress.

Punitive damages can significantly increase the settlement amount, but they aren’t guaranteed.

Punitive Damages

#7 Settlement Negotiations

The final settlement you receive will also depend heavily on negotiations.

Many wrongful termination cases don’t go to trial, and instead, the parties reach a settlement through negotiation.

If the company’s lawyers are aggressive and your lawyer isn’t as experienced, you might get a lower settlement. The same goes for the other way around—if your lawyer is well-prepared, the company might agree to settle for a higher amount just to avoid a prolonged legal battle.

Your lawyer’s negotiation skills will play a big role in determining what you end up with.

#8 Employment Status

Your employment status at the time of termination can affect the settlement too.

California is an “at-will” state, which means that employers can fire employees for almost any reason, unless it violates state or federal laws.

However, if you had a contract that was violated, your case may be stronger.

California law provides certain protections for union workers and contract employees, so these employees might receive a higher settlement if wrongfully terminated.

Average Settlement Range For Wrongful Termination By Case

The amount of a wrongful termination settlement can depend on the specific type of case too. Here’s a rough breakdown of the average settlement ranges for different types of wrongful termination cases:

Case Type Avg Settlement Amount
Breach of Contract $5,000 – $80,000
Public Policy Violation $10,000 – $100,000+
FMLA Violations $80,000
Whistleblowing $450,000
Retaliation $20,000 to $40,000
Racial Discrimination $25,000 – $100,000+
Religious Discrimination $20,000 – $50,000
Age Discrimination $40,000 -150,000
Disability Discrimination $25,000 – $500,000
Pregnancy Discrimination $10,000 – $50,000
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Bottom Line

You can receive anywhere around $5,000 and $100,000 for wrongful termination in California

The exact settlement amount you might receive depends on things like the severity of the termination, the strength of your case, and how long you’ve been employed.

If you’re facing wrongful termination, it’s worth reaching out to a lawyer who can guide you through the process and help ensure you’re fairly compensated.

FAQs

How Often Are Wrongful Termination Cases Won?

Winning a wrongful termination case depends on the strength of the evidence and the specifics of the case. But about 90% of wrongful termination cases settle before trial.

What Happens If You Win A Wrongful Termination Suit?

If you win a wrongful termination lawsuit, you may receive compensation for lost wages, emotional distress, and sometimes punitive damages. You could also be reinstated to your job if that’s what you want.

About the Author

Gerald Scher, Attorney at Law

Gerald “Jerry” Scher is a San Jose personal injury attorney with over 30 years of experience. A graduate of Santa Clara University School of Law, he has secured settlements from $5,000 to $1.5 million in personal injury and workers’ compensation cases. Jerry is a member of the American Bar Association and Santa Clara County Trial Lawyers Association.