If you were injured at work in Montana and are receiving workers’ compensation benefits, it is natural to worry about your job security. Many injured workers ask whether they can be fired while their claim is open or while they are off work recovering. The answer is nuanced: yes, you can be terminated while receiving workers’ compensation, but Montana law places clear boundaries on when and why that can occur. Understanding these protections is essential to safeguarding your rights. This article explains how the Montana Workers’ Compensation Act and the Montana Wrongful Discharge From Employment Act interact, and how both laws protect you when you are hurt on the job. For those needing guidance, the experienced attorneys at Miller Tourtlotte Law, PLLC are available to evaluate your circumstances and help you understand your legal options.
Understanding Montana Workers’ Compensation Protections
Montana’s workers’ compensation framework is governed by the Montana Workers’ Compensation Act, found in Title 39, Chapter 71 of the Montana Code Annotated. The Act provides medical benefits, wage-loss compensation, and other forms of support when a worker is injured in the course and scope of employment.
One of the central protections in this law is MCA § 39-71-317. This statute explicitly prohibits an employer from terminating an employee because the employee filed a workers’ compensation claim. The law states that an employer “may not use as grounds for terminating a worker the filing of a claim under” the Act. Because this protection is statutory, it applies to all covered workers, regardless of the employer’s size or internal policies.
It is important to understand what this protection does—and does not—do. It does not guarantee that your job will remain open indefinitely, nor does it prevent an employer from making legitimate business decisions unrelated to the workers’ compensation claim. What it does prevent is retaliation for asserting your right to benefits. Filing a claim is a legally protected action, and any adverse employment consequence based on that filing may constitute an unlawful termination.
Returning to Work and the Reemployment Preference
The Workers’ Compensation Act contains another important provision for injured workers: the reemployment preference found in MCA § 39-71-317(2). If you are medically released to return to work within two years of your injury, you are entitled to preference over other applicants for a “comparable position,” provided:
- The position becomes vacant with the same employer for whom you were working when injured, and
- The position is consistent with your post-injury physical and vocational abilities.
The preference applies only to the same employer at which the injury occurred, as outlined in MCA § 39-71-317(3). This protection ensures that injured workers who can return to the workforce are not unfairly disadvantaged merely because they needed time to heal.
However, the statute requires that you actually be released to work by a medical provider. The release may specify limitations or modified-duty capacities. If your employer has a suitable position and fails to consider you before hiring an external candidate, that can form the basis of a legal claim under the Act.
Wrongful Discharge Protections Under Montana Law
In addition to protections under the Workers’ Compensation Act, Montana’s general employment-termination law—the Wrongful Discharge From Employment Act (WDEA)—provides important rights. Found at MCA § 39-2-904, the WDEA is unique among state statutes because Montana is not a broad at-will employment state. After completing your probationary period (typically one year unless an employer specifies otherwise), your employer may only terminate you for good cause.
Under MCA § 39-2-904(1), a discharge is wrongful if:
- It violates public policy;
- It is not for good cause after the probationary period; or
- It violates the employer’s written personnel policies in a way that deprives the worker of a fair opportunity to maintain employment.
This statutory framework operates alongside the anti-retaliation rule in MCA § 39-71-317. Put simply, once you complete probation, your employer must have a job-related, legitimate basis for termination. Terminating an employee because they filed a workers’ compensation claim violates both the Workers’ Compensation Act and the WDEA.
While “good cause” is a defined term in Montana law, employees often seek clarification because the concept can seem broad. The statute describes good cause as any reasonable, work-related grounds for dismissal. Employer reorganization, performance deficiencies, well-documented misconduct, and similar issues may qualify. But an employer’s assertion of “good cause” does not make it so; the justification must be examined in context.
Can You Be Fired While Receiving Workers’ Compensation Benefits?
Yes, you can be terminated while receiving benefits if your employer’s reason is lawful. For example, if your employer undergoes restructuring, eliminates your position, or has legitimate concerns unrelated to your injury, termination may fall within the bounds of the law.
However, the timing surrounding your claim and injury can be extremely relevant. If the termination occurs soon after filing your claim, if explanations change, or if you are replaced under suspicious circumstances, those factors may support an inference of retaliation. Because retaliatory discharge is prohibited under MCA § 39-71-317(1), the employer’s actual motivation becomes the central question.
A separate analysis may apply if you are still in your probationary period. Under MCA § 39-2-904(2), an employer may terminate an employee during probation “for any reason or no reason,” unless the termination was unlawfully retaliatory. Thus, workers who are still within probation retain protection under the Workers’ Compensation Act but have more limited protection under the WDEA.
What to Do if You Believe You Were Wrongfully Terminated
If you suspect your employer fired you because of your workers’ compensation claim, or if you believe the stated reason is not supported by the facts, you should act promptly. Documentation is critical. Retain any termination notices, written communications, performance reviews, and medical records. The legal standards under both MCA § 39-71-317 and MCA § 39-2-904 require careful attention to evidence, timing, and employer conduct.
Many workers understandably feel overwhelmed during this process. The interplay between these statutes, as well as the factual disputes that commonly arise, often requires legal analysis. Moreover, strict deadlines may apply depending on the nature of the dispute.
Montana Workers’ Compensation Lawyer
If you were injured at work in Montana and believe your employer terminated you unfairly or retaliated against you for filing a workers’ compensation claim, you do not have to navigate the process alone. The law provides meaningful protections, but asserting those rights takes careful preparation, timely action, and an understanding of Montana’s statutory framework. To learn more about your legal options, contact an experienced workers’ compensation lawyer at Miller Tourtlotte Law, PLLC by calling (406) 888-2222 or contacting us online for a free consultation.


