Can I Change Jobs While My Workers Comp Claim Is Pending?

Your Workers' Comp Claim Follows You

Many injured workers worry that leaving their employer will end their workers' compensation claim. This is a common misconception. Your workers' comp claim is tied to the injury, not your employment status.

Once you file a claim, the insurance company for your employer at the time of injury remains responsible. If you were hurt working for Company A, Company A's insurer handles your claim even if you later work for Company B, Company C, or become unemployed.

This means you can:

• Accept a new job while your claim is pending
• Quit your current employer
• Be terminated (for legitimate reasons) without losing benefits
• Retire while your claim continues
• Move to another state and still receive California workers' comp benefits

Why Workers Consider Changing Jobs During a Claim

There are many valid reasons why an injured worker might want to change employers while their claim is pending:

Hostile Work Environment

Unfortunately, some employers retaliate against workers who file claims. While this is illegal, it happens. You may face reduced hours, demotions, harassment, or pressure to return to work before you're ready. No one should have to endure a toxic environment while recovering from an injury.

Better Opportunity

Your injury claim shouldn't hold you back from career advancement. If a better job comes along, whether that's higher pay, better hours, or a position more suited to your physical abilities, you have every right to pursue it.

Unable to Return to Previous Position

Your injury may permanently prevent you from performing your old job duties. Finding new work that accommodates your restrictions makes sense, even while your claim for the injury continues.

Company Going Out of Business

If your employer closes or goes bankrupt, your claim continues through the insurance carrier. You'll need to find new work anyway, and your workers' comp benefits remain intact.

How Changing Jobs Affects Your Benefits

While your claim doesn't disappear when you change jobs, your benefits can be affected in several ways. Understanding these impacts helps you make strategic decisions.

Temporary Disability (TD) Benefits

Temporary disability payments replace lost wages while you're unable to work due to your injury. Here's how job changes affect TD:

• If you're currently receiving TD: Payments continue as long as you remain unable to work due to your injury, regardless of where you're employed or unemployed.
• If you take a new job and can work: TD payments stop because you're earning wages. This is true even if you're earning less than before.
• If you take a new job and aggravate your injury: You may receive TD again if your doctor takes you off work.
• If you quit without a new job: TD continues if your doctor says you can't work. However, insurance companies may argue you voluntarily left the labor market.

Medical Treatment

Your right to medical treatment for your work injury continues regardless of your employment status. The original employer's insurance must pay for authorized treatment until your condition is stable or your case settles.

However, changing jobs can create complications:

• Authorization delays: Insurance companies sometimes delay authorizations when claimants are no longer employees, hoping you'll give up.
• Surveillance: Insurers may increase surveillance after you change jobs, looking for evidence you're not as injured as claimed.
• New injury complications: If you're injured again at your new job, determining which insurer is responsible becomes complex.

Permanent Disability Settlement

Your permanent disability rating and settlement are based on the injury itself, not your employment status. Changing jobs generally doesn't affect your permanent disability benefits.

However, some strategic considerations apply:

• Return to work with restrictions: If you return to work (same or different employer) with restrictions, this may be used to argue your disability is less severe.
• Earning more money: Higher wages at a new job don't reduce your permanent disability, but may affect settlement negotiations.
• Earning less money: Lower wages might support arguments for higher disability ratings or additional benefits.

Supplemental Job Displacement Benefits (SJDB)

If your injury results in permanent work restrictions and your employer can't offer modified work, you're entitled to a Supplemental Job Displacement Benefit voucher worth $6,000 for education and retraining.

Changing jobs affects SJDB eligibility:

• If you quit before your employer offers modified work: You may lose SJDB eligibility because your employer never had the chance to accommodate you.
• If you're terminated without an offer: You retain SJDB eligibility.
• If you accept a new job within restrictions: SJDB eligibility depends on whether your original employer made an offer within 60 days of receiving work restriction information.

What Insurance Companies Watch For

Insurance companies may view a job change as an opportunity to challenge your claim. Be prepared for these tactics:

Surveillance and Social Media Monitoring

Insurers often increase surveillance when workers change jobs. They look for activities that contradict your claimed restrictions. A new job may prompt them to hire investigators to watch you at your new workplace or document your activities.

Arguments About Disability Level

If you take a physically demanding job, the insurance company will argue you're not as disabled as your doctors claim. They may request an independent medical exam (IME) to reassess your condition.

Voluntary Abandonment

If you quit without a clear reason (like a better job or documented retaliation), insurers may argue you voluntarily left the labor market. This can affect temporary disability benefits and settlement negotiations.

Fraud Investigations

Working while collecting temporary disability without reporting income is fraud. Insurance companies actively investigate this. Always report any earnings accurately.

Best Practices When Changing Jobs

If you're considering a job change during your workers' comp claim, follow these guidelines:

Consult Your Attorney First

Before making any decisions, discuss your plans with a workers' compensation attorney. They can advise on timing, documentation, and potential impacts on your specific claim.

Document Everything

Keep records of why you're leaving. If it's due to retaliation, document every incident. If it's for a better opportunity, save the job offer. If you're unable to perform your old duties, get this in writing from your doctor.

Ensure the New Job Fits Your Restrictions

Working outside your medical restrictions can harm your health and your claim. Make sure your new employer understands and can accommodate your limitations. Get any modifications in writing.

Report Your New Employment

Notify the insurance company and your attorney when you start a new job. Disclose your earnings accurately. Transparency protects you from fraud allegations.

Continue All Medical Treatment

Keep all doctor appointments and follow treatment recommendations. A gap in treatment after changing jobs looks suspicious and can hurt your claim.

Understand Your New Employer's Policies

Some employers ask about prior workers' comp claims. California law limits what they can ask, but you should understand your rights and how to handle these questions appropriately.

Special Situations

Being Fired During Your Claim

California employers cannot fire you solely for filing a workers' comp claim. This is illegal retaliation under Labor Code section 132a. However, employers can terminate you for legitimate business reasons unrelated to your claim.

If you're fired during your claim:

• Your workers' comp benefits continue
• You may have a separate claim for wrongful termination
• Document everything leading up to your termination
• File for unemployment while seeking new work

Taking a Lower-Paying Job

Sometimes an injury forces you to accept work that pays less than your previous position. This may entitle you to additional benefits:

• Temporary partial disability: If you're working but earning less due to restrictions, you may receive supplemental payments.
• Higher disability ratings: Permanent loss of earning capacity can increase your disability rating.
• SJDB voucher: You may still qualify for retraining benefits.

Starting Your Own Business

Some injured workers start their own businesses to have more control over their work conditions. This is permitted, but be aware:

• You must report any income to the insurance company
• Business activities inconsistent with your restrictions will be scrutinized
• You'll need your own workers' comp coverage for any employees

Moving Out of California

Your California workers' comp claim follows you if you move to another state. You retain all rights to benefits. However, you may face practical challenges:

• Medical treatment must be authorized by the California insurer
• Finding doctors who accept California workers' comp can be difficult outside the state
• You may need to return to California for depositions, hearings, or IMEs

Retaliation Protection

California law strongly protects workers from retaliation for filing workers' comp claims. Under Labor Code section 132a, employers cannot:

• Fire you for filing a claim
• Demote you because of your injury
• Reduce your hours or pay in retaliation
• Create a hostile work environment to force you out
• Give you negative references because of your claim

If you experience retaliation, you may be entitled to:

• Reinstatement to your position
• Back pay and lost benefits
• Up to $10,000 in penalties paid to you
• Attorney fees and costs

What to Tell Your New Employer

Navigating job interviews with an open workers' comp claim requires careful consideration:

What They Can Ask

California employers can ask whether you can perform the essential functions of the job with or without reasonable accommodation. They cannot ask about your workers' comp history before making a conditional job offer.

After a Job Offer

Once you receive a conditional offer, employers can ask about your workers' comp history and require a medical exam. However, they can only withdraw the offer if the exam reveals you cannot perform essential job functions with reasonable accommodation.

Disclosing Your Restrictions

Be honest about your physical limitations. Working outside your restrictions harms your health and your claim. If a job requires duties you cannot safely perform, it's not the right job for you.

Frequently Asked Questions

Why Legal Representation Matters

Changing jobs during a workers' comp claim creates complications that insurance companies may exploit. An experienced attorney protects your interests by:

• Advising on the best timing for job transitions
• Documenting retaliation if you're forced out
• Ensuring benefit calculations account for your new situation
• Fighting insurance company attempts to minimize your claim
• Protecting your SJDB eligibility
• Handling successive injury complications

We work on contingency, meaning you pay nothing unless we win your case. Consultations are free and confidential.

Take Control of Your Career and Your Claim

A workplace injury shouldn't trap you in a job that doesn't work for you. Whether you're facing retaliation, seeking better opportunities, or simply need a change, you have the right to pursue your career goals while your claim continues.

The key is making informed decisions that protect both your health and your legal rights. With proper planning and legal guidance, you can navigate a job transition without sacrificing the workers' comp benefits you deserve.