Severance After Workplace Harassment in Los Angeles: What You Need to Know

If you experienced harassment at work and now you're holding a severance agreement, the company is trying to buy two things: your silence and your legal claims. California has made significant legislative changes in recent years to limit how much silence they can actually buy. But the claims part? That's still on the table, and those claims could be worth real money.

What California's Silenced No More Act Changed

SB 331, California's Silenced No More Act (effective January 2022), fundamentally changed what employers can restrict in severance agreements involving harassment.

They can't silence you about the harassment. No provision in your severance agreement can prevent you from disclosing factual information about workplace harassment, discrimination, or any conduct you reasonably believe to be illegal. Period. If your agreement tries to restrict this, that provision is void under California law.

They can't restrict discussion of working conditions. The agreement cannot prevent you from discussing the facts of what happened to you in the workplace.

The agreement must include specific language. Your severance agreement must affirmatively state that nothing in it prevents you from discussing or disclosing information about unlawful acts in the workplace. If this language is missing, the agreement has a compliance problem.

This means your employer can pay you to release your legal claims, but they cannot pay you to stay silent about the harassment itself. You can tell people what happened.

The Value of Your Harassment Claims

Under FEHA, harassment claims in California can include:

Economic damages. Lost wages (back pay and front pay) if the harassment led to your termination or constructive discharge.

Emotional distress. The psychological impact of the harassment. California allows significant emotional distress damages in harassment cases, particularly when the conduct was severe or prolonged.

Punitive damages. If the employer knew about the harassment and failed to stop it, or if the harasser was a supervisor or executive, punitive damages may be available. These are designed to punish the employer and can be substantial.

Attorney's fees. The employer pays your legal fees if you prevail.

Strong harassment cases in Los Angeles regularly settle for five and six figures. If your severance offer is a fraction of that, you're being asked to take a significant discount.

Did the Company Know?

One of the most important factors in valuing your claim is whether the company knew about the harassment and what they did about it. If you reported the harassment to HR or management and they failed to investigate, failed to take corrective action, or retaliated against you for reporting, the company's liability increases significantly.

Under FEHA, employers are strictly liable for harassment by supervisors and vicariously liable for harassment by coworkers if they knew or should have known and failed to take immediate corrective action.

Retaliation Adds Another Layer

Were you fired after complaining about harassment? That's retaliation, and it's a separate legal claim on top of the harassment itself. Retaliation claims under Labor Code Section 1102.5 and FEHA carry their own damages, including back pay, emotional distress, and punitive damages.

The combination of harassment and retaliation creates particularly strong leverage in severance negotiations. Your employer knows that an LA jury seeing a harassment complaint followed by a termination draws the obvious conclusion.

What to Negotiate

Beyond the severance amount (which should reflect the value of your claims), consider negotiating:

Ensure SB 331 compliance. The agreement must include language confirming your right to discuss the harassment. If it doesn't, demand it.

Mutual non-disparagement. The company can't talk negatively about you, and you agree to the same (with the SB 331 carve-out for discussing harassment facts).

Positive reference. Don't let the harassment narrative define your professional reputation.

Reporting to appropriate agencies. Confirm your right to file complaints with the CRD, EEOC, or other agencies is preserved.

Get Expert Guidance

Harassment cases are emotional and legally complex. Before you sign a severance agreement that releases these claims, have an attorney evaluate the strength of your case and whether the offer reflects its true value.

Contact our employment team for a free, confidential consultation. We understand the sensitivity of these situations and can help you navigate both the legal and practical aspects of your severance. Serving Los Angeles and all of Southern California.

Common Questions

Frequently Asked Questions

Can my severance agreement prevent me from talking about workplace harassment?
No. Under California's Silenced No More Act (SB 331), no provision in a severance agreement can prevent you from disclosing factual information about workplace harassment, discrimination, or illegal conduct. The agreement must include language confirming this right.
How much are harassment claims worth in California?
Harassment claims under FEHA can include lost wages, emotional distress damages, punitive damages, and attorney's fees. Strong cases regularly settle for five and six figures. The value depends on the severity of the harassment, whether the employer knew and failed to act, and whether retaliation occurred.
Can I file a harassment complaint with the CRD after signing a severance agreement?
Yes. Your right to file a complaint with the California Civil Rights Department (CRD) or EEOC cannot be waived in a severance agreement. The release may waive your right to monetary recovery from the filing, but the right to file is protected.

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