Neb. comp demotion ruling curbs retaliations

LINCOLN, Neb.--Nebraska's Supreme Court extended the state's prohibition against the retaliatory firing of workers compensation claimants to include the banning of retaliatory demotions.

Friday's ruling in Kimberlee Trosper vs. Bag 'N Save stems from a case filed by a deli manager who was demoted to deli clerk and had her salary slashed from $30,100 to $22,500 after reporting an injury that required medical treatment.

After Ms. Trosper sued for retaliation, Bag 'N Save argued that a public policy exception to Nebraska's law allowing employers to fire at-will employees at any time should remain limited to discharges.

The employer also argued that "expanding the tort could cause a flood of litigation," court records show.

A trial court sided with the employer and dismissed the case. The Supreme Court, however, reversed and remanded the case, finding that demotion, like discharge, also violates public policy.