As an employer, you want to cultivate respectful relationships with everyone who works for you.
And you want to do whatever you can to build a solid team that will help you ensure the long-term success of your business.
But some employees may hinder the respect, success, productivity, and teamwork you’ve worked so hard to build, and it’s in these kinds of situations that you may have to terminate an employee.
If you’re anything like me, you don’t ever want to have to let someone go, and you’ll try to avoid it at all costs, if you can.
At the same time, you don’t want to keep employees who are causing problems, but when you’re firing an employee, you have to be confident that you’re doing it legally.
And despite how much you may hate the idea of terminating an employee, there are times when you may not have any other option.
There are also other instances when it’s going to be in your best interests to avoid terminating an employee, no matter how much you may want to let them go.
But every situation is different, every state has its own rules about this sort of thing, and trying to figure it all out on your own can be beyond overwhelming.
What’s more, if you do want to terminate an employee, regardless of what they’ve done, you’re probably looking to do it in the kindest and most delicate way possible.
With that in mind, I want to help put your mind at ease by explaining what you can do to terminate an employee with the utmost confidence and kindness.
So, if you’re thinking about terminating an employee, unsure about whether you should, and wondering how to fire someone legally and ethically, then you should definitely keep reading.
How to Terminate an Employee With Confidence
As much as you may despise the idea of firing someone, you can’t keep an employee who consistently causes problems or fails to do their job properly.
At the end of the day, it’s not fair to all your other employees, who will end up having to pick up the slack or deal with this person’s bad behavior. So, if they need to go, they need to go.
With that in mind, let’s explore what you need to know to terminate an employee with confidence.
Dos
If you want to avoid issues when terminating an employee, you’ve got to handle the situation with professionalism, empathy, and legal compliance.
Here are some things you should always do when you terminate an employee:
Plan and Prepare
Before the termination meeting takes place, make sure to carefully plan and prepare what you’re going to say and how you’ll communicate your decision.
Also, make sure to have all the necessary documentation ready to go before the meeting, including performance reviews, previous warnings (if applicable), termination paperwork, and their final paycheck.
States differ on when you have to issue the final paycheck, though, so make sure to check any applicable government websites and comply with all regulations.
Choose the Right Time and Location
Ideally, you should schedule the termination meeting at a time and place that ensures privacy and minimal disruption.
Moreover, you should avoid terminating an employee on a Friday or before holidays, as it can leave them feeling stranded or without immediate resources or support.
Do It Yourself
I know it might be scary, and you might feel bad about it afterward, but whatever you do, don’t get someone else to terminate an employee for you.
Some circumstances may make it impossible for you to do it yourself, and if that’s the case, then I understand.
But as far as I’m concerned, if you’re firing an employee, as their employer, you owe it to them to look them in the eyes and let them know why you’re letting them go.
So, if you can do it yourself, you definitely should.
Play It Safe
As much as I think it’s important for you to look an employee in the eye when firing them, there are times when it’s just not safe.
Having said that, if you think the person you’re planning on terminating has the potential to harm you or anybody else in your company, then you should avoid doing it in person.
If this is the case, ideally, you should do it over the phone, letting them know that they’re not allowed to come back on the property and that you’ll send their letter of termination via email.
Keep Records
Terminations often take place after several weeks or even months of dealing with an employee’s poor performance and/or bad behavior.
But no matter what they’ve done, you don’t want to end up in a situation where it’s their word versus yours and you have nothing to justify your decision to terminate them.
That being said, whenever an employee has a behavioral or performance issue, you should make sure to put it in writing and have them sign it.
This notice should include an explanation of what they’ve done wrong and let them know that if they don’t follow the rules, moving forward, it can lead to further disciplinary action, up to and including termination of their employment.
If they refuse to sign, make a note on the document stating that. Additionally, make sure to keep any relevant voicemails and/or text messages.
What’s more, you should also include all of your organization’s rules and regulations in an employee handbook, which every employee must sign.
This way, no one can claim that they didn’t know the rules, and you can show that you’ve done your due diligence in training your employees, which can help you in court if someone sues for wrongful termination.
Offer Severance if Possible
When you terminate an employee, typically, there’s a good chance that they’re going to sue you.
With that in mind, as much as you may not want to, or feel that this person doesn’t deserve it, if you can, it’s probably in your best interests to try to get them to sign a severance agreement.
This agreement will offer them a severance package in return for them waiving their right to file a wrongful termination lawsuit against you or your company.
If they don’t sign it, then their last day of work is the last day they will be paid for.
You may not like this idea, but the reality is, you can either spend $5,000-$10,000 on a severance package and avoid any legal nonsense, or risk having to fork out $25,000 or more to pay an attorney to represent you after you get sued.
In my experience, once an attorney gets involved, costs can spiral out of control very quickly, so offering a severance agreement is definitely the smarter option.
Handle Logistics Professionally
Make sure to handle logistical matters promptly and professionally, such as getting back all company property, deactivating access to systems and apps, and finalizing paperwork.
If applicable, you should arrange a way for them to return their equipment as soon as possible and don’t forget to ensure that the terminated employee understands the next steps and timelines for any administrative processes.
If the employee is remote, or you do not want them coming back on the property, send them a FedEx or UPS pre-paid label and ask them to have it boxed and shipped back to the company.
Communicate With Remaining Staff
You should let employees know that the employee you terminated no longer works for the company.
But make sure to refrain from discussing any specific details about the termination with your remaining staff, and ideally, you should only talk about it on a need-to-know basis.
In addition, you should also provide reassurance to them about your organization’s commitment to supporting its employees during times of transition.
Learn From the Experience
After the termination, you should take some time to reflect on your process and the outcomes of the termination to identify any areas for improvement in your company’s policies, procedures, or management practices.
In any case, try to use the experience as an opportunity for growth and development so you can prevent similar situations in the future.
Don’ts
When terminating an employee, it’s important to avoid scenarios that can lead to misunderstandings, legal issues, or unnecessary stress.
Here are some things you shouldn’t do when terminating an employee:
Don’t Be a Jerk
Regardless of why you’re terminating an employee, you don’t have to be a jerk about it.
Even if you’re justifiably angry at this person, neither you nor anyone else is going to benefit from further conflict.
So, when terminating an employee, you should make sure that the interaction remains as respectful as possible and sticks to the issue at hand.
Don’t Blindside the Employee
You should also avoid surprising the employee with the termination decision without any prior warning or feedback about performance or behavioral issues.
A termination decision should never be made impulsively, and the employee in question should always be given a fair opportunity to address any concerns before you actually fire them.
Failure to provide this opportunity could result in serious legal consequences down the road, especially if you have no evidence of prior warnings or disciplinary action.
Don’t Delay the Decision
While it’s essential to handle terminations with sensitivity, delaying the decision unnecessarily can create prolonged uncertainty and anxiety for the employee.
So, once your mind is made up, make sure to proceed with the termination process promptly and efficiently.
Don’t Publicize the Termination
Respecting your employees’ privacy and dignity is crucial to maintaining trust and morale within your organization.
That being said, you should avoid discussing the termination with other employees, unless it’s on a need-to-know basis.
You should also avoid sharing details about the decision before informing the employee directly, and don’t ever badmouth an employee to the rest of your staff before, during, or after the termination has taken place. Nothing good will come of it.
Don’t Use Hostile or Confrontational Language
When communicating the termination decision, you should make a point of not using hostile, confrontational, or accusatory language that may escalate tensions or provoke a negative reaction from the employee. And you should also watch your body language as well as theirs.
In any case, regardless of why you’re terminating them, you should do your absolute best to maintain a professional and respectful tone throughout the conversation.
Don’t Disregard Legal Obligations
When you terminate an employee, one of the most important things to do is ensure that the termination decision complies with all relevant employment laws and regulations.
You should also avoid terminating an employee in a way that could be considered discriminatory or in retaliation for exercising their legal rights, as this can lead to serious legal repercussions for your business.
Don’t Make False Promises
When firing an employee, you should be honest and transparent about the limitations of the termination decision.
Make sure to avoid making promises or commitments to the terminated employee that cannot be fulfilled, such as guaranteeing future employment opportunities or providing references beyond what is standard practice for your organization.
Don’t Invalidate the Employee’s Feelings
Even if you don’t agree with their perspective, when you’re firing someone, you should acknowledge their emotions with as much empathy and understanding as you can.
Also, you should avoid dismissing or invalidating the employee’s feelings of shock, anger, or sadness about the termination.
This is especially important because if the employee believes that you fired them in a cruel or humiliating way, they can say they suffered mental distress and use it against you in court.
Don’t Skip Documentation and Paperwork
When you terminate an employee, you’ve got to ensure that all the related documentation and paperwork, including termination letters, severance agreements, and final pay calculations, are completed accurately and in compliance with legal requirements.
Skipping or rushing through this process can lead to confusion or legal disputes later on, so make sure you do your due diligence.
Don’t Retaliate Against the Employee
Taking retaliatory actions against the terminated employee, such as badmouthing them to other employers or sabotaging their future job prospects, can damage your reputation and even result in legal consequences.
So, as much as you may want to get back at someone whom you feel has wronged you, in the end, you’ll be better off holding your tongue.
Don’t Neglect Support for Remaining Staff
After the termination, don’t neglect the emotional impact on the rest of your staff.
To maintain the morale and trust of your team, you should provide reassurance, support, and clear communication about any changes resulting from the termination.
As soon as you can, you should let them know how that person’s responsibilities will be handled and if/when you plan to hire a replacement.
Don’t Do It Alone
While you don’t want to get someone else to do your dirty work for you, you shouldn’t do it all by yourself either.
For one thing, you’re going to need a witness, and ideally, it should be a manager, as opposed to one of their peers, as it’s wrong for you to embarrass them in front of their colleagues.
Also, make sure not to close the door while the termination is taking place, as you don’t want them making claims about things like false imprisonment.
I would recommend letting them sit closest to the door, with you and your witness on the other side of the desk.
Avoid Making It a Discussion
Another thing to keep in mind is that this shouldn’t be a discussion.
If they start bringing up other people, incidents, or anything else that’s not directly related to the termination, then you should respectfully remind them that the decision has already been made, and this isn’t up for debate.
At the same time, if they don’t want to listen to what you have to say, don’t try to make them listen to you, raise your voice, or anything like that. Just let them walk away.
Do Not Terminate Without Cause
Regardless of how much you dislike someone, or whatever the case may be, under no circumstances should you ever terminate an employee without cause and without a full investigation to be sure you have all the facts, and not just opinion or hearsay.
Because even in at-will states (those where an employer can terminate an employee at any time for any reason, except an illegal one), if you get sued, it’s not going to help you in court if you had no reason to terminate them.
So, no matter what state you’re operating in, make sure to avoid terminating without cause.
How to Terminate an Employee With Kindness
In these situations, acting with kindness is in everyone’s best interests.
And no matter what an employee has done to deserve being terminated, being a jerk about it isn’t going to benefit you or anyone else involved.
Here’s what to do if you want to ensure you’re being kind when terminating an employee:
Treat Them With Dignity and Respect
Above all, you should treat the employee you’re terminating with dignity and respect throughout the termination process, avoid belittling or demeaning language, and ensure that the employee leaves your organization with their self-esteem intact.
Offer Support and Resources
While the termination takes place, you should offer support in transitioning out of the company, and provide information about severance packages, continuation of benefits, and any outplacement services available to the terminated employee, such as assistance with job search resources or career counseling.
Be Direct and Honest
When delivering the news, you should be direct and honest about the reasons for termination.
Provide clear, specific examples of performance or behavioral issues that led to this decision, and avoid sugar coating or beating around the bush, as it can lead to confusion or resentment.
Show Empathy and Respect
During the termination meeting, you should do your best to show empathy and respect toward the outgoing employee.
If applicable, you should acknowledge their contributions to your company and express regret about the situation.
Be compassionate but firm in your delivery, understanding that this news can be extremely difficult for the employee to deal with.
Listen and Allow for Questions
After delivering the news, you should allow the employee to express their feelings and ask questions.
While they’re expressing themselves, you should avoid arguments or defensiveness, actively listen, and then provide honest answers to their questions, while maintaining a calm and respectful demeanor throughout the conversation.
If you don’t know the answers to any of their questions, let them know that you will reach out to them and then make sure you follow through.
Maintain Confidentiality
To the extent that it’s possible, you should keep the termination confidential within your organization, and avoid discussing the details of the termination with other employees unless it’s necessary for operational reasons or legal requirements.
Focus on the Future
Another thing you can do to soften the blow of a termination, if you feel the employee is open to it, is to emphasize that while the termination is difficult, it also presents an opportunity for the employee to explore new possibilities and pursue their career goals.
This might sound like the last thing they’d want to hear at that moment, but it can help them view the situation as a stepping stone to new opportunities rather than a setback.
Are you having problems with an employee and you’re not sure what to do? Contact me today to find out how I can help.
Business Leadership, Business Legal Concerns, Business Management