A New York City firefighter who was fired for testing positive for cocaine, forfeiting pension benefits worth $2 million and his family’s health care benefits, has successfully appealed his termination.

Thomas McDougall, a 25-year veteran of the Fire Department of the City of New York, had been eligible to retire for five years when, for the first time, he tested positive for drugs. Citing his lengthy service and his unblemished disciplinary record and the severe hardship that a termination would impose, a deputy assistant chief recommended that Mr. McDougall be allowed to resign in addition to paying a fine of $80,000, about one year’s salary.