California and federal laws, including Cal. Lab. Code § 1102.5 and various federal statutes, prevent employers from taking adverse employment actions (such as demotions or termination) against employees for engaging in protected activity. Such protected activity could include complaining about an illegal employment practice or participating in a lawsuit against your employer. Critically, under the law, the employee only needs to have a good faith belief the activity complained of is illegal, and even if the complained-of activity ultimately proves lawful, the employee is still protected.