What Happens If I Lose My Job Due to a Car Accident

If you were seriously hurt in a car accident, chances are you had to take significant time off of work. Many employers are understanding about medical leave, but patience can wear thin when your recovery takes weeks or even months. It’s important to communicate your health issues with your supervisor, and to keep them updated on the progress of your recovery.

However, what happens if you are laid-off by your boss after an auto accident? Unfortunately, there are no laws that state your position is guaranteed if you are unable to perform your job. The Family and Medical Leave Act (FMLA) does provide 12 weeks of unpaid leave to deal with medical problems or family issues. However, it only applies if your employer has more than 50 workers, and you have worked at least 1250 hours over the past year.

When car accident injuries get you fired

Not everyone has built-in job protection, and if you are worried about how you’re going to make ends meet, you should speak to a qualified personal injury lawyer about your rights. For 45 years, the attorneys at Kantrowitz, Goldhamer, Graifman, Perlmutter & Carballo, P.C. have provided outstanding legal representation to clients in New Jersey and New York.

We can review the facts of your case and outline the best strategies for recovering losses due to a vehicle accident. If you decide to retain our services, an experienced car accident lawyer will manage every aspect of your case from start to finish, allowing you to concentrate on your recovery.

Recovering lost wages after a car accident

In our years of experience handling personal injury actions, we’ve seen a wide range of disabling injuries that can cause a person to lose their job. How will you handle your medical bills and daily expenses with no cashflow?

New York and New Jersey are among a handful of states that have No-Fault insurance laws. These were enacted to ensure that victims would be reimbursed for lost wages and legitimate medical bills, despite who was responsible in a crash.

Insurance coverage for lost wages isn’t a panacea, however. In New York, your policy will pay 80 percent of your income, up to $2,000 per month. This compensation is helpful, but after you’ve been fired, what steps can be taken?

In some cases, you may be eligible to apply for social security disability benefits to help tide you over until you can re-enter the workforce.

Do you have the right to take legal action?

If your car accident caused a “serious injury” as defined under New York or New Jersey law, such as loss of a limb, severe scarring or disfigurement, or a fracture, you might have the right to sue the at-fault party. A successful lawsuit can net damages, or compensation, to cover not only your lost income and medical costs but future loss of earning capacity as well as pain and suffering. As of May 26, 2026, New York also eliminated the “90/180-day” rule, which had allowed a temporary injury lasting at least 90 of the 180 days after an accident to qualify as a serious injury on its own, so meeting one of the state’s other defined injury categories is now required. New York law also bars a plaintiff found more than 50% at fault for the accident from recovering pain and suffering and other non-economic damages.

You are more likely to see favorable results by partnering with a qualified lawyer who can protect your interests and advocate on your behalf.

You and your attorney will need to present proof of the income you lost because of your car accident injuries. You will also need a detailed narrative from your physician regarding your diagnosis, treatments, and prognosis. If your injuries resulted in temporary or partial disability, this also needs to be taken into account when drafting a demand letter.

Loss of future earning capacity can also be factored into your personal injury compensation. Depending on your earnings history, your age, and your ability to learn a new vocation, all of this has the potential to increase your payout substantially.

How New York’s 2026 Comparative Fault Rules Affect Your Claim

As of May 26, 2026, New York law bars a plaintiff found more than 50% at fault for a motor vehicle accident from recovering non-economic damages, such as pain and suffering. You may still be able to recover a proportional share of your economic damages, such as medical bills and lost wages, but pain and suffering compensation would not be available. The law also eliminated the “90/180-day” rule, under which a temporary injury lasting at least 90 of the 180 days following an accident could, on its own, qualify as a “serious injury” for purposes of filing a lawsuit. These changes apply to actions commenced on or after that date and affect how much compensation an injured driver can ultimately recover.

Legal representation in New York and New Jersey

Kantrowitz, Goldhamer, Graifman, Perlmutter & Carballo, P.C. attorneys are proud to serve residents throughout Bergen County, NJ and Rockland County, NY who need powerful legal representation. Learn more about your rights and options under the law by calling us today for a free case evaluation. Our talented legal team can help you get on the path to physical, emotional, and financial recovery.