Can an employer terminate an employee who is out on workers’ comp leave?

Of course your client CAN fire an employee on workers’ comp leave, but SHOULD they? Absolutely not! If they do so, their workers’ comp rates will go through the roof. The state will charge the client all of the benefits with a 300% interest rate as a penalty.

However, for employees on light duty with behavior concerns (but not for job performance concerns), suspension without pay can be an option.