Two Employees Sue Sedgwick for Firing Them After Medical Leave

Why It Matters

The suits underscore the legal and financial risks for employers who mishandle FMLA and disability accommodations, and they spotlight the need for transparent performance standards. Failure to comply can trigger costly litigation and reputational damage.

Key Takeaways

• Two federal suits allege Sedgwick fired workers post‑FMLA leave
• Claims cite disability, age, and retaliation violations
• Lawsuits reference undisclosed performance metrics and alleged misconduct
• No Sedgwick response; cases pending in Illinois, Michigan courts
• Potential exposure includes ADA, ADEA, and FMLA damages

Pulse Analysis

Employers across the United States are under increasing pressure to honor the Family and Medical Leave Act (FMLA) and related disability protections. Recent Department of Labor guidance emphasizes that termination decisions must be based on documented performance issues, not on an employee’s medical status or the timing of their leave. Companies that rely on vague internal metrics or retroactively apply disciplinary actions risk violating federal statutes, which can lead to amplified damages and injunctive relief.

The Sedgwick lawsuits illustrate a troubling pattern where high‑performing staff are abruptly dismissed after returning from approved medical leave. In the first case, a claims manager with a recent “Shining Star” award was accused of misconduct over a personal utility bill, while the second involved a seasoned RN who consistently earned perfect audit scores yet faced an undefined performance plan. Both plaintiffs allege that Sedgwick used ambiguous criteria to justify terminations, a strategy that courts have repeatedly rejected when it masks discriminatory intent.

For businesses, the stakes are clear: inadequate documentation, inconsistent performance standards, and failure to engage in the interactive process can trigger ADA, Age Discrimination in Employment Act, and FMLA claims. Legal counsel advises implementing clear, measurable performance metrics, conducting thorough return‑to‑work assessments, and maintaining transparent communication with employees on leave. Proactive compliance not only reduces litigation exposure but also reinforces a culture of fairness that can improve retention and brand reputation.