If your boss ever pressures you to do something that feels wrong—or flat-out illegal—you’re not alone. Many employees find themselves caught between following orders and breaking the law. It’s an uncomfortable and risky situation. The good news is that you have rights. US laws protect workers from being forced into illegal activities or punished for refusing to take part in them.
This guide explains what to do if your employer makes you do something illegal, when you can sue, and how whistleblower protections work.
Understanding the Situation: When Your Employer Crosses the Line
Sometimes, employers ask employees to do things that aren’t just unethical—they’re illegal. Examples can include:
- Falsifying documents or financial records
- Overcharging customers or clients
- Lying to regulators or inspectors
- Disposing of waste or materials illegally
- Hiring or firing employees for discriminatory reasons
- Destroying evidence or deleting important data
If your boss asks you to do any of these things, you might feel torn. On one hand, refusing could risk your job. On the other hand, agreeing could get you into serious legal trouble.
The truth is that you have the right to refuse illegal orders and the law often protects you if you’re punished for it.
Can You Sue Your Employer for Forcing You to Do Something Illegal?
Yes, you can—but it depends on your situation and the laws in your state. There are a few main ways you may have a legal case:
- Wrongful Termination in Violation of Public Policy
If you’re fired for refusing to commit an illegal act or for reporting it, you might have a wrongful termination claim. Many states recognize that firing an employee for refusing to break the law violates public policy.
For example, imagine you work in accounting, and your manager tells you to “adjust” financial numbers to make the company look more profitable. You refuse—and get fired the next day. That could be wrongful termination. - Whistleblower Protection Laws
If you report illegal activity—like fraud, environmental violations, or discrimination—to your employer or a government agency, you might be protected under federal or state whistleblower laws. These laws protect you from retaliation such as firing, demotion, or harassment. - Retaliation Claims Under Federal Law
If you report violations of federal laws—like workplace safety issues (OSHA), wage violations (FLSA), or discrimination (EEOC)—you’re also protected from retaliation under those laws.
In short, you can sue if you were punished or fired for refusing to commit a crime or for reporting one.
Whistleblower Protections in the United States
A whistleblower is someone who exposes illegal or unethical behavior within an organization. Whistleblower laws exist to protect people like you when you choose to do the right thing.
Here are a few key examples:
- The Sarbanes-Oxley Act (SOX): Protects employees of publicly traded companies who report financial fraud.
- The False Claims Act (FCA): Allows employees to report companies that defraud the government and even receive a portion of the recovered funds.
- The Occupational Safety and Health Act (OSHA): Protects employees who report unsafe working conditions.
- The Clean Air Act and Clean Water Act: Protect employees who report environmental violations.
Each law has its own process for filing complaints. Some require that you report the misconduct to a government agency within a certain time limit.
The “Qui Tam” Lawsuit: When You Can Get a Reward
If your employer’s illegal actions involve defrauding the federal government—like overbilling for government contracts—you might be eligible to file what’s called a “qui tam” lawsuit under the False Claims Act.
In these cases, you act as a whistleblower (called a “relator”) on behalf of the government. If the case succeeds, you could receive a percentage of the money recovered, which can sometimes be millions of dollars.
So, not only are you protected—you may also be rewarded for doing the right thing.
What If You’re Still Employed but Being Pressured to Do Something Illegal?
If you’re still working for the company but your boss is pushing you to do something wrong, take these steps carefully:
- Stay Calm and Gather Information
Don’t react impulsively. Write down exactly what your employer asked you to do, when it happened, and who was involved. Keep copies of emails, texts, or documents that prove the request was illegal or unethical. - Politely Refuse to Participate
Let your employer know that you’re uncomfortable and believe the action might violate the law or company policy. You don’t have to make accusations—just make it clear you can’t do something unlawful. - Report the Misconduct Internally (If Safe)
If your company has a compliance department or HR team, report the issue there. This creates a record that you spoke up. - Consider Whistleblowing Externally
If your employer ignores your complaint—or if you fear retaliation—you can report the issue to a government agency such as:- The Occupational Safety and Health Administration (OSHA)
- The Equal Employment Opportunity Commission (EEOC)
- The Department of Labor (DOL)
- The Securities and Exchange Commission (SEC) for financial misconduct
- Talk to an Employment Lawyer
Before taking big steps like quitting or suing, it’s smart to consult an attorney who specializes in employment law. They can explain your rights and the best course of action based on your state laws.
If You’ve Already Been Fired or Punished
If you’ve already been fired, demoted, or harassed after refusing to break the law or reporting misconduct, you could have a strong legal case. Here’s what to do next:
- Document Everything: Keep records of your communications, the illegal request, and how your employer responded when you refused.
- File a Complaint Promptly: Many whistleblower laws and wrongful termination claims have strict deadlines. For example, OSHA whistleblower complaints generally must be filed within 30 days of the retaliatory act.
- Contact a Whistleblower or Employment Attorney: A lawyer can help determine which laws apply to your case and file the necessary complaints or lawsuits.
- Don’t Sign Anything Under Pressure: If your employer offers you severance or a settlement, don’t sign it before consulting a lawyer. You might unknowingly give up your right to sue.
Examples of Illegal Employer Requests
To better understand what might qualify as “illegal,” here are some common examples that have led to lawsuits:
- A boss asks you to falsify time sheets to avoid paying overtime.
- You’re told to ignore safety violations at a construction site.
- Management instructs you to dump waste materials in an unapproved area.
- You’re asked to lie to auditors or clients about financial data.
- You’re ordered to discriminate against certain employees or customers.
- You’re pressured to destroy documents relevant to a lawsuit.
If you were punished or fired for refusing to do any of these things, you likely have a valid legal claim.
What Compensation Can You Get If You Sue?
If your lawsuit succeeds, you could receive several types of compensation, including:
- Lost Wages: The pay and benefits you lost because of the termination.
- Emotional Distress Damages: Compensation for stress, anxiety, or humiliation caused by your employer’s actions.
- Punitive Damages: Additional money meant to punish the employer for particularly bad behavior.
- Attorney’s Fees: Some whistleblower laws require employers to pay your legal costs if you win.
- Reinstatement: In some cases, courts may order your employer to give you your job back.
The amount you receive depends on the specifics of your case and state laws.
How to Protect Yourself Before Suing
Before jumping straight into a lawsuit, take steps to strengthen your case:
- Keep Everything in Writing: Whenever possible, communicate by email or text rather than verbally. This creates a paper trail.
- Don’t Use Company Devices for Sensitive Communication: Use your personal phone or email when documenting or discussing possible legal actions.
- Avoid Retaliating or Breaking Rules: Don’t do anything that could give your employer a reason to fire you for legitimate reasons (like misconduct).
- Get Legal Advice Early: The sooner you speak with a lawyer, the better they can help you build a solid case.
Why You Shouldn’t Go Along With Illegal Orders
It might feel easier to just “do what you’re told,” especially if you’re afraid of losing your job. But remember:
- Breaking the law can make you personally liable. You could face fines or criminal charges.
- Your reputation could be damaged. Even if you acted under orders, it may still reflect poorly on you later.
- Doing the right thing protects you long-term. Refusing to participate in illegal activity helps you build integrity and protects your career.
In the end, the risk of short-term trouble is far less damaging than facing long-term legal or moral consequences.
When to Seek Legal Help
If you’re unsure whether your situation qualifies as illegal or if you’ve already suffered retaliation, it’s time to talk to a professional. An experienced employment lawyer can:
- Evaluate your situation and identify which laws apply
- Help you file complaints with the right agencies
- Negotiate with your employer or represent you in court
- Protect you from further retaliation
Most employment lawyers offer free consultations, and many take whistleblower or wrongful termination cases on a contingency basis, meaning they only get paid if you win.
Final Thoughts
Being asked to do something illegal at work can make you feel trapped. You want to keep your job, but you also want to do the right thing. Remember: you don’t have to choose between your conscience and your career.
If your employer forces you to do something illegal—or fires you for refusing—you have the right to stand up for yourself. US laws are designed to protect honest employees like you.
Before taking any action, gather evidence, stay calm, and get legal advice. The right attorney can help you understand your options, protect your rights, and hold your employer accountable.