Get an attorney, YESTERDAY, and go after this city, county, state, or company. This guy is a total BUTT. Be sure that you also file for unemployment.
I am sorry about your Grandma, but this will give you a little more time to spend with her, huh? While you are off work, be sure that you scrounge every scrap of documentation of your situation up for your attorney. Don't forget your communication with us!