Past employer stated I don't work for them and never have?

I have not worked for over three years, got married, had a baby and moved out of state. Now looking to go back to work and a prospective employer called past employer and they stated that I never worked for them. Can they do that? And can I sue. They have only been in business about 11 years and I worked for them for over 4 years. It was a very small office, about 9 people. So I know they could not have forgotten me. I am very shocked and distraught over this. It makes my prospective employers think I am a flake and liar. What can I do? I don't think I am getting this job because of this.
Additional Details
I never changed my name...they know I worked there and they know who I am. They are doing this blatantly.

malica

Did you get married after you left, or shortly before leaving? They may not have recognized you by your married name and would know you by your maiden name. Maybe I'm too optimistic, but unless you left on completely disastrous terms I can't see them intentionally lying. Have you tried calling them to see if they just made a mistake?

sherilasvegas

Call them and speak to HR about it. If it's a dead-end, call the Dept Of Labor and see what they say.

SKR

It could be someone new to the company, or they just could not be bothered checking past employee's names list.
Tell them who you worked with, and get them to ring that person.
Bring a past payslip even. If a person doesn't want to become a referee then look on the bright side - don't get a bad referee because it will not help you. You've got to look for another referee instead.

sailboatsandbutterflies

Frankly that is a crap problem!

Do you have someone that is still there whom you worked with but wasn't part of management? They can help you out by giving you a fair reference.

Even if they no longer work there at that company--could they verify that you did work there & give you a reference?

Btw you can prove that you did work there, you can show them an old pay stub or tax records if you really wanted to.

I would go as far as having a friend or your husband if he is willing--to call as though a "another" reference & ask for the same person that you gave. Also have him ask some questions as though he was asking about to hire you.

Try to tape the conversation if you can.

Also would it be possible that they didn't reconize your married name? Is that possibly the issue? That if your last name was 1 thing when you worked for them & now you go by another name? Or even if it's hyphenated--if the individual who made the call only used the married part OR the person answered only heard the married part?

There are so many possibilities here. I'd take a time out & call your contact at that company yourself to see what happened. I'd also tell the company that you are interviewing with that there is obviously a misunderstanding because you can prove through your taxes that you did work for this company & have proof from 4 yrs of taxes that you did.

That would they give you a day or so to track down another reference and apologize for the major inconvenience.

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