Firing - Painful but Necessary

Tolerating unproductive or disruptive employee behavior can quickly poison the atmosphere of a business.

'Firing' - 'termination' - 'lay off' - whatever you call it, it's painful.

Sooner or later, most business owners face the situation of an employee who isn't working out.

How you handle that person and situation is important. If you handle it poorly, you may be sued, or create a backlash from remaining employees.

It's important to:

- Stay alert to complaints.
(Pay attention to complaints about problems in the workplace - employees don't always bring these issues to the 'boss' so you have to find ways to stay in touch with the day-to-day work environment.)

- Deal with problems.
(Don't pretend that the problem will go away; it won't.)

- Talk with the employee when you're not angry.
(Try to communicate what is expected, offer training, model desired behavior.)

It's common for employers to accept all kinds of excuses for poor
performance, mistakes and problems.

Be careful about being sucked into an employee's personal problems. You are not the employee's counselor. Focus on job requirements and expectations. Encourage the employee to get help with problems. The employee should not be in the workplace if unable to do his/her job.

When it's clear that the employee isn't working out, you need to terminate the person. In my experience, the longer you delay the termination, the worse it is for everyone.

Unless the employee has a contract, employment is considered 'at will.' This means that an employee can be terminated for any reason or no reason at all, except for the prohibited reasons of race, gender, age, etc.

It's important to be consistent in how you treat employees. You can get into trouble if you terminate one employee for behavior that you tolerated in another.

Termination DOs:

- Treat the person with respect.

- Schedule a meeting for privacy.

- Plan what you will say.

- Explain WHY, WHAT & WHEN.

- Explain why the termination is occurring (e.g., work restructured,
out-sourced, consolidated.) If performance related, this should be
documented.  (It is better to give no reason for the termination rather than give an untrue reason.)

- Explain what action is being taken, how and when it will occur. 'Your last day will be, you'll be paid through .'

- Provide COBRA and Unemployment notices.

Try to avoid embarrassing the employee; express understanding of the employee's upset feelings but avoid sympathy. Unless you're worried about the employee damaging equipment or computers, or causing disruption in the workplace, allow the employee to say good bye to fellow workers.

Termination DON'Ts:

- Don't use banter, humor or small talk.

- Don't defend, argue or justify.

- Don't discuss other employees.

- Don't minimize feelings or offer false hope.

- Don't make promises.

- Don't let the process drag on.

The goal in 'letting someone go' is that the person leaves feeling fairly treated. 'It didn't work out,' or 'the job wasn't the right fit' are good endnotes for the relationship.

What's been your experience? Do you have any 'dos' or 'don'ts' to share based on your experience?

Jean D. Sifleet
Attorney & CPA

P.S. As always, please feel free to forward eNews to colleagues who may have an interest. The material is copyright protected, and may be distributed as long as it is forwarded in full and the SmartFast source is identified. Please remember that eNews is intended as information and not legal advice.

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Jean Sifleet, business attorney, CPA and three-time entrepreneur, is pleased to announce the release of her new book, Advantage “IP”: Profit from Your Great Ideas. Visit the Smartfast Bookstore for details, and to order the book.

Information provided on this website is intended for a general overview and
should not be construed as legal advice for a particular situation.