Termination due to disability: Overview, definition, and example

What is termination due to disability?

Termination due to disability refers to the process of ending an employment relationship because the employee is unable to perform their job duties due to a physical or mental disability. This can occur when an employee's condition has rendered them unfit for work, and reasonable accommodations or job modifications are either not possible or not sufficient to allow the employee to perform the essential functions of their job. Depending on the jurisdiction and the applicable laws, termination due to disability may involve specific procedures, including the consideration of accommodations and the possibility of long-term disability benefits.

Termination due to disability must be handled carefully, as it may be subject to laws such as the Americans with Disabilities Act (ADA) in the United States or other local regulations that prohibit discrimination on the basis of disability.

Why is termination due to disability important?

Termination due to disability is important because it ensures that both employers and employees understand their rights and responsibilities in situations where an employee is no longer able to work due to a medical condition. For employers, it helps clarify the procedures for ending an employment relationship while adhering to legal and ethical obligations. For employees, it ensures that they are treated fairly and that they are provided with reasonable accommodations and benefits where applicable. Properly handling termination due to disability helps avoid legal disputes, ensures compliance with anti-discrimination laws, and supports both the well-being of the employee and the operational needs of the employer.

Understanding termination due to disability through an example

Let’s say an employee working as a customer service representative develops a chronic illness that severely limits their ability to answer calls and interact with customers. The employer makes efforts to accommodate the employee, such as adjusting their work hours or providing ergonomic adjustments to their workspace, but these accommodations do not enable the employee to perform their job duties effectively. After a period of review, the employer determines that termination due to disability is necessary. The employee is provided with appropriate support, such as long-term disability benefits or the option for medical leave, as stipulated by the company's policies and local laws.

In another example, a construction worker suffers a severe injury on the job that permanently disables them from performing physical labor. After exhausting all accommodation options, such as retraining for a less physically demanding role within the company, the employer decides to terminate the employment due to the employee’s disability, following the proper legal procedures and ensuring that the employee is provided with the necessary support and benefits.

An example of a termination due to disability clause

Here’s how a termination due to disability clause might appear in an employment agreement:

“In the event that an Employee is unable to perform the essential functions of their position due to a disability, and reasonable accommodations or modifications cannot enable the Employee to continue working, the Employer reserves the right to terminate the employment. The Employee will be provided with any applicable benefits, including long-term disability insurance, and will be given notice in accordance with applicable labor laws.”

Conclusion

Termination due to disability is a complex process that must be approached with care, ensuring compliance with applicable laws and offering support to the employee. It involves ending an employment relationship due to a medical condition that prevents the employee from fulfilling the essential duties of their job. Employers must navigate this process thoughtfully, considering accommodations and ensuring that the employee is treated fairly, while also fulfilling legal obligations to prevent discrimination. Properly handling termination due to disability ensures that the employee is treated with respect, while the employer maintains operational integrity.


This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.