Chelsea Handler slams former friend Heather McDonald for claiming she was a horrible boss

Chelsea Handler is furious with her former late night show co-star Heather McDonald, who claimed she was a terrible boss when they worked on the late night show Chelsea Lately.

The 40-year-old comedienne told Jenny McCarthy during the Sirius XM show Dirty Sexy Funny on Tuesday that the actress has yet to see the worst.

'She should really be scared,' the blonde said live on the air. The funny girl also called her a 'loser.'

Complaint handler: Chelsea Handler reacted furiously to her former writer Heather McDonald's suggestion she was a scary boss on Tuesday... by threatening her live on air

Complaint handler: Chelsea Handler reacted furiously to her former writer Heather McDonald's suggestion she was a scary boss on Tuesday... by threatening her live on air

McDonald also criticized the star for dumping her friends, and not telling her she was walking away from the E! show they both worked on.

But on Tuesday, Handler said the reason she stopped talking to her was she leaked stories about her to magazines in exchange for publishing photos of McDonald. 

'I could have fired her, but instead I just stopped spending any personal time with her,' she said. 

Riposte: Chelsea was speaking to Jenny McCarthy on her Sirius XM show Dirty Sexy Funny about a podcast in which her ex-friend said she lived in perpetual fear working for her

Riposte: Chelsea was speaking to Jenny McCarthy on her Sirius XM show Dirty Sexy Funny about a podcast in which her ex-friend said she lived in perpetual fear working for her

Out of the loop: McDonald also criticized the 40-year-old for dumping her friends, and not telling her she was walking away from the E! show they both worked on

Out of the loop: McDonald also criticized the 40-year-old for dumping her friends, and not telling her she was walking away from the E! show they both worked on

'The fact that I would allow anyone like that even work for me when everyone was telling me to fire her - and she's complaining that I wouldn't hang out with her? Or discuss my negotiations?

'Why the f**k would I tell somebody who's talking to a magazine about my career? She's a writer! You don't talk to writers about what you're doing! That's none of her business!' an agitated Handler spat.

In her interview for Matt Weiss and Theo Von's podcast, McDonald said she discovered via Twitter the Chelsea Handler Show had ended - but she was too afraid to ask the boss

Sell out: But on Tuesday, Handler said the reason she stopped talking to her was she leaked stories about her to magazines in exchange for publishing photos of McDonald (pictured in LA 2011) 

Sell out: But on Tuesday, Handler said the reason she stopped talking to her was she leaked stories about her to magazines in exchange for publishing photos of McDonald (pictured in LA 2011) 

'I lived in fear, 100 percent lived in fear. I enjoyed my time there, I was happy, but something could happen and my heart would be beating and I'd be like ''is this it?"'

'I think she's a good person, I don't agree with how she treats relationships in her life,' she added. 'I think she's missing out by dumping people.'

But Chelsea told McCarthy her ex-pal had good reason to be frightened now.

Mercy: 'I could have fired her, but instead I just stopped spending any personal time with her,' Chelsea said

Mercy: 'I could have fired her, but instead I just stopped spending any personal time with her,' Chelsea said

Other side: 'The fact that I would allow anyone like that even work for me when everyone was telling me to fire her - and she's complaining that I wouldn't hang out with her? Or discuss my negotiations?' she said
Other side: 'The fact that I would allow anyone like that even work for me when everyone was telling me to fire her - and she's complaining that I wouldn't hang out with her? Or discuss my negotiations?' she said

Other side: 'The fact that I would allow anyone like that even work for me when everyone was telling me to fire her - and she's complaining that I wouldn't hang out with her? Or discuss my negotiations?' she said

Mind your own: 'Why the f**k would I tell somebody who's talking to a magazine about my career? She's a writer! You don't talk to writers about what you're doing! That's none of her business!' an agitated Handler spat

Mind your own: 'Why the f**k would I tell somebody who's talking to a magazine about my career? She's a writer! You don't talk to writers about what you're doing! That's none of her business!' an agitated Handler spat

'She would never say anything to my face. She would only say that on the radio,' she vented. 'She would never, 'cause shes f**king scared and she should be. Now she should really be scared.

'She's such a dirty... what a loser. I heard that, I didn't even listen to the whole thing because I was like: this is so stupid,' she added.

'I mean, yeah of course, a million things happen, you're at work, you're not a nice person every day. But never like that,' she concluded. 'You cant be scared to be at work, this isn't a concentration camp. You should quit then. Go quit.'

Threat: 'She would never say anything to my face. She would only say that on the radio,' she vented. 'She would never, 'cause shes f**king scared and she should be. Now she should really be scared'

Threat: 'She would never say anything to my face. She would only say that on the radio,' she vented. 'She would never, 'cause shes f**king scared and she should be. Now she should really be scared'

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