Wrongful Termination Laws in Pennsylvania

Federal law prohibits wrongful termination based on membership in protected classes under Title VII of the Civil Rights Act of 1964 (42 U.S.C. § 2000e), which covers employers with 15 or more employees. Title VII bars discrimination based on race, color, religion, sex, and national origin. The Age Discrimination in Employment Act (ADEA), 29 U.S.C. § 623, protects workers 40 and older at employers with 20+ employees. The Americans with Disabilities Act (ADA), 42 U.S.C. § 12101 et seq., protects workers with disabilities from termination due to disability and requires reasonable accommodation at employers with 15+ employees.

Federal law also protects whistleblowers: the Occupational Safety and Health Act (OSHA) protects workers who report workplace safety violations, and Sarbanes-Oxley and Dodd-Frank provide whistleblower protections in specific industries. The Family and Medical Leave Act (FMLA), 29 U.S.C. § 2601, protects workers from termination for taking protected FMLA leave. Enforcement occurs through the EEOC (for discrimination) or DOL (for wage and safety violations). Remedies include back pay, front pay, reinstatement, compensatory and punitive damages, and attorney fees. Most federal charges must be filed within 180 days of the adverse action, though some states extend this to 300 days.

Pennsylvania's wrongful termination law operates primarily through the Pennsylvania Human Relations Act (PHRA), 43 Pa.C.S. § 955 et seq., which covers employers with four or more employees (a lower threshold than federal law's 15-employee rule). The PHRA prohibits discrimination based on race, color, religion, sex, national origin, age (40+), disability, and sexual orientation and gender identity. Pennsylvania also recognizes common-law wrongful termination claims in limited circumstances: (1) termination in violation of public policy (e.g., for jury service, voting, or reporting illegal conduct), (2) breach of implied or express contract, and (3) bad faith or breach of covenant of good faith and fair dealing in employment relationships.

Pennsylvania's wrongful termination protections are in some respects stronger than federal law. First, the PHRA's four-employee threshold means smaller employers are covered under state law even if they fall below federal minimums. Second, Pennsylvania recognizes "sexual orientation" and "gender identity" as protected classes under the PHRA, whereas federal Title VII was not interpreted to cover these categories until the 2020 Supreme Court decision in Bostock v. Clayton County (though Bostock now applies nationwide). Third, Pennsylvania's public-policy exception to at-will employment is broader: employees cannot be fired for refusing to commit an unlawful act, for performing a public duty (jury service, voting, serving in the military), or for exercising statutory rights (e.g., filing a workers' compensation claim).

The Pennsylvania Whistleblower Law, 43 Pa.C.S. § 1421 et seq., specifically protects employees from retaliation for reporting workplace safety violations, wage and hour violations, hazardous conditions, or violations of any state or federal law. This provides additional protection beyond federal whistleblower laws. Remedies under Pennsylvania law include back pay, lost benefits, reinstatement, compensatory damages for emotional distress, and attorney fees and costs. Pennsylvania also allows for punitive damages in cases of intentional discrimination or reckless conduct. The PHRC can award damages up to the full economic loss plus emotional distress; there is no statutory cap on compensatory damages in Pennsylvania.

Pennsylvania's at-will employment doctrine permits termination for any non-illegal reason, and employers have broad discretion in hiring and firing decisions. Even if an employer's reason is unfair, harsh, or unwise, it does not constitute wrongful termination unless it violates a specific statutory prohibition or public policy exception.

The public-policy exception to at-will employment, while broader than federal law, still has limits. An employee must show that termination was based on conduct that furthers a clear, substantial public policy—mere disagreement with company practices or personal conflict typically does not qualify. For example, being fired for complaining about work conditions without a connection to safety or legality is usually not protected; however, being fired for reporting OSHA violations, wage theft, or environmental crimes is protected.

Common employer defenses include: (1) legitimate, non-discriminatory reasons for termination (burden of proof shifts after employee establishes a prima facie case of discrimination), (2) documented performance issues, attendance violations, or misconduct, (3) business necessity or legitimate operational changes, (4) bona fide occupational qualification (BFOQ) if applicable, and (5) seniority system or merit-based pay system. Employers can also defend by showing they made reasonable accommodations for disability or that the employee was unable to perform essential job functions even with accommodation.

Additional exceptions: independent contractors are not covered (though Pennsylvania applies a strict test for contractor status), and certain exclusions apply to small employers. Union members subject to collective bargaining agreements may have different remedies through arbitration rather than the PHRC. Federal employees are excluded from PHRA coverage but are covered under federal civil service laws.

Step 1 — Document Everything. Immediately after termination, compile and preserve all relevant documents: your employment contract, offer letter, performance reviews, email communications with management, text messages, witness statements from coworkers, written warnings or disciplinary notices, attendance records, payroll stubs, and any communications about the reason for termination. Save copies in multiple secure locations (personal email, cloud storage, external drive) because employers may delete files or deny access to company systems. Write a detailed timeline of events leading to termination, including dates, names of people involved, and what was said. Document any discriminatory comments, retaliation for complaints, or hints that your protected status (age, race, disability, gender, etc.) played a role.

Step 2 — Internal Complaint Process. Before filing an external charge, check your employee handbook for an internal complaint or grievance procedure. Most larger employers have a formal process: file a written complaint with HR detailing the termination and why you believe it was illegal or retaliatory. Keep a copy and request written acknowledgment of receipt. If your company has an ombudsperson or ethics hotline, use that as well. This step is not legally required to pursue a wrongful termination claim, but it creates a documented record and may preserve settlement opportunities. If the company has an alternative dispute resolution (ADR) process or arbitration clause in your contract, understand its terms before proceeding, as it may require arbitration rather than litigation.

Step 3 — File a Charge with the Pennsylvania Human Relations Commission (PHRC). Visit www.phrc.pa.gov or call 717-787-9780 to file a charge of discrimination or retaliation. You have 180 days from the date of termination to file with PHRC alone, or 300 days if you intend to also pursue federal claims through the EEOC. Submit a written charge (you can use PHRC's form or a letter) that includes: your name, address, and phone number; the employer's name, address, and number of employees; the date of termination; a clear description of the unlawful conduct (specify the protected class involved: race, color, religion, sex, national origin, age, disability, sexual orientation, gender identity, or retaliation for reporting violations); and your signature. Include copies of supporting documents (performance reviews, emails, witness statements). Mail to: Pennsylvania Human Relations Commission, 333 Market Street, Harrisburg, PA 17101, or file online through their portal.

Step 4 — Expect the Investigation Process. After filing, the PHRC will send you a confirmation letter with a case number. The agency typically has 90 days to investigate, though this can be extended. The PHRC investigator will contact you for a detailed interview (prepare your timeline and documents), request documents from the employer, and may interview witnesses and the employer. The employer must provide its side of the story and explain the reason for termination. During this period (usually 2–6 months), maintain all communications and respond promptly to investigator requests. After investigation, the PHRC issues a Determination: either "probable cause" that discrimination or retaliation occurred, or "no probable cause." If probable cause is found, the case enters conciliation (settlement negotiation). If conciliation fails, the PHRC may issue a Charge of Discrimination and refer the case to the Pennsylvania Court of Common Pleas or, if federal claims are involved, the EEOC may issue a "right-to-sue" letter allowing you to file in federal court.

Step 5 — Consult an Employment Attorney. Contact an employment law attorney as soon as possible—ideally before or immediately after filing with the PHRC. An attorney can assess the strength of your claim, advise whether to pursue state, federal, or both avenues, and represent you in settlement negotiations and litigation. Many employment attorneys work on a contingency basis (you pay only if you win or settle). During your consultation, bring all documents and be prepared to discuss your employment history, the specific incident leading to termination, any witnesses, and communication with the employer about the reason for firing. Ask your attorney about realistic damages (back pay, front pay, emotional distress), timeline to resolution, and whether arbitration or litigation is preferable given your situation.