{"id":1768,"date":"2011-03-14T02:17:45","date_gmt":"2011-03-14T02:17:45","guid":{"rendered":"http:\/\/www.shanecampbellcfo.com\/?p=123"},"modified":"2023-10-05T21:15:09","modified_gmt":"2023-10-05T21:15:09","slug":"the-safest-way-to-fire-an-employee","status":"publish","type":"post","link":"https:\/\/www.b2bcfo.com\/shane-campbell\/the-safest-way-to-fire-an-employee\/","title":{"rendered":"The safest way to fire an employee"},"content":{"rendered":"

For Godfather<\/em> buffs, who can forget the \u201ctermination\u201d of employee Sal Tessio (Abe Vidoga) by consigliere Tom Hagen (Robert Duvall) during the organizations \u201crestructuring\u201d? Hagen makes a rather hollow assurance by saying \u201cSal, it\u2019s not personal, it\u2019s just business.\u201d In these civilized modern times, this methodology would obviously not be considered the safest way to fire an employee. What is the safest way? Please read on.<\/p>\n

Any business owner knows how gut-wrenching it is to fire an employee, although real life employee terminations have less severe ramifications than the example above. Sometimes it involves letting an employee go that has made significant contributions to the success of the organization in the past, making the separation even more difficult. Thoughts such as \u201cwas there more that I could have done to keep the employee on track?\u201d or \u201cshouldn\u2019t I give them one more chance?\u201d enters into the thought process. Guilt can set in. Normally though, once a business owner has considered firing an employee, it is a fete de complete, and simply needs to be carried out in order to get it over with. The company will be better off, and so will the terminated employee, which they will not realize until later. Life goes on.<\/p>\n

How about risk exposure? HR professional Karen Alary (karen.alary@gmail.com<\/a>) provides the following points for consideration when pondering an employee termination:<\/p>\n

\u2022 Confirm there is a valid and non-discriminatory business reason for the firing.<\/p>\n

\u2022 Review company policies (such as at-will, progressive discipline, and dispute resolution) and make sure they are being followed.<\/p>\n

\u2022 If a written employment contract exists, does it create barriers for terminating?<\/p>\n

\u2022 Was an oral contract made with the employee that promises continued employment?<\/p>\n

\u2022 Has the employee filed a workers\u2019 compensation claim or is the employee pregnant?<\/p>\n

\u2022 Is the contemplated termination really an act of retaliation?<\/p>\n

Let\u2019s assume that you clear all of those hurdles. Now if you are anything like most small\/medium sized businesses, you may have issues with respect to documenting communication to the employee about their undesirable conduct or underperformance issue(s). Karen then has this to\u00a0say:<\/p>\n

\u2022 Has communication with the employee been nonexistent or open, ongoing, and documented?<\/p>\n

\u2022 Have past performance evaluations been glowing, or have serious problems been identified?<\/p>\n

\u2022 Has a performance improvement plan been instituted and has there been follow-up evaluation of the employee\u2019s progress or lack thereof?<\/p>\n

Depending on the facts and circumstances, business owners can incur significant risk in terminating an employee. The employee can and may sue for wrongful termination, even if all the above policies were carried out with 100% compliance. Whether the employee wins in court is not even the greatest concern. The cost of defense as well as the countless hours of disruption to the company will likely be the most expensive part of the transaction. Then what\u2019s the answer?<\/p>\n

The termination needs to be considered as part of a non-emotional business decision requiring rational thought and a focus on risk avoidance. How can you make the employee go away as\u00a0peacefully and inexpensively as possible? Perhaps a separation agreement and severance award makes sense. You may need to give the departing employee severance since failing to do so might give the employee no option other than to litigate. If you go that route, be sure to get the separation agreement drafted by a qualified and experienced employment\u00a0attorney and signed by the employee before paying severance. Seek the help of an HR professional like Karen and an attorney whenever you feel vulnerable in such a circumstance. They will take out the emotional aspects and remind you that \u201cit\u2019s not personal, it\u2019s just business.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

“Whether the employee wins in court is not even the greatest concern. The cost of defense as well as the countless hours of disruption to the company will likely be the most expensive part of the transaction.” <\/p>\n","protected":false},"author":25,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_editorskit_title_hidden":false,"_editorskit_reading_time":0,"_editorskit_is_block_options_detached":false,"_editorskit_block_options_position":"{}","cybocfi_hide_featured_image":"","footnotes":""},"categories":[16],"tags":[],"class_list":["post-1768","post","type-post","status-publish","format-standard","hentry","category-shanes-really-deep-insights"],"acf":[],"yoast_head":"\nThe safest way to fire an employee | CFO Services | B2B CFO<\/title>\n<meta name=\"description\" content=\"Any business owner knows how gut-wrenching it is to fire an employee, although real life employee terminations have less severe ramifications than the example above.\" \/>\n<meta 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