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How Employment Lawyers Get Paid

Most employment lawyers work on contingency — meaning you pay nothing unless you win. Many workers with valid claims never pursue them because they assume they can't afford a lawyer.

What a contingency fee means

In a contingency arrangement, the attorney takes a percentage of the recovery — typically 30–40% — if the case settles or you win at trial. If you lose, you pay no attorney's fees. This structure lets workers with strong claims access legal representation they couldn't otherwise afford.

What you might still owe

Even on contingency, you may be responsible for out-of-pocket costs — filing fees, deposition costs, expert witness fees. These are separate from attorney's fees. Ask upfront how costs are handled if you don't recover. Many attorneys advance costs and only collect them out of a recovery.

Fee-shifting in employment cases

Federal employment laws like Title VII, the ADA, and the ADEA include fee-shifting provisions: if you win, the court can order your employer to pay your attorney's fees. This further reduces your financial risk and is one reason employment attorneys are willing to take cases on contingency.

Red flags to watch for

  • Attorney wants a large upfront retainer for a discrimination claim (contingency should be the norm)
  • No written fee agreement before representation begins
  • Attorney can't clearly explain what costs you'd owe if you don't recover
  • You're pressured to settle quickly without a clear explanation of the value of your claim
  • Attorney hasn't handled employment or EEOC cases specifically

Next up

Non-Compete Agreements

Read next

Sources: EEOC.gov, EEOC Field Manual, and federal employment statutes. Informational only — not legal advice.