Settlement Showing on W2.

So I have a question. Earlier last year I was fired from my job (not going to saw where or why, but it was discrimination related). I sued and settled for $10k, $2k going to my lawyer and $8k going to me. I chose the option to get the check pre taxed, since I dont know jack about taxes (obviously). The check I got back, after taxes, was about $3.5k, so it was obviously taxed pretty heavily. I got my w2 from them, and they're claiming the $8k as hours worked, even though I was already fired and wasn't working for them when the sue/settlement happened. It was only a part time job that I had maybe worked two weeks of, about 75 hours total. I went back to look at the settlement papers and its showing the settlement as hours worked there as well. Is this something I should bring to the attention of my lawyer and fight, or is this normal? Seems odd that I'd be forced to be taxed for the same thing twice.

Also apologies if this is the wrong subreddit. I thought about asking r/Legal but idk if this would be fine there either.