Navigating the Crossroads of Workers’ Compensation and Employment Law

Back in 2016, Noorjahan Ramji, a cleaner for Hospital Housekeeping Systems LLC (HHS), injured her knee on the job. Following her doctor’s approval for light duty, HHS required her to complete an essential skills test, which aggravated her injury. HHS subsequently terminated her employment for failing the test and citing past infractions. Ramji settled her workers’ comp claim but also filed a lawsuit for interference with her Family and Medical Leave Act (FMLA) rights, highlighting the complex overlap between workers’ comp and employment law.

Workers’ comp focuses on workplace injuries, while employment law addresses broader issues like wrongful termination, ADA, and FMLA violations. The overlap can be confusing, as seen in Ramji’s case, where her work injury led to an FMLA claim. Employers must navigate these intersections carefully to avoid legal pitfalls.

Employers often struggle with understanding termination laws related to workers’ comp claims. Professional Employer Organizations (PEOs), which assist businesses with compliance and HR tasks, face additional complexities due to their co-employment agreements. Proactive legal consultation is essential for managing these challenges effectively.

To mitigate risks, employers should consult both workers’ comp and employment law attorneys early in the claim process. Collaboration between legal experts helps identify potential issues and develop comprehensive strategies, preventing further litigation and ensuring compliance with overlapping laws.