Summary. In most cases, terminating an employee should only be done as a last resort after the employer has exhausted efforts to correct certain behavior. If employees are affecting morale, impacting productivity, or are part of a major violation, termination may be deemed essential.
Nobody ever wants to fire an employee. However, there are many different circumstances that may make the termination of an employee essential within a business. These conversations can be uncomfortable but are often necessary to maintain your company culture or the overall reputation of your business.
Depending on your business or industry, your reasons for firing an employee may differ. In some cases, if an employee can’t perform to reach their necessary goals, they may need to be cut from the team to make space for someone who can. In other cases, the employee may violate a more serious rule, leading to termination. Whatever the case, the decision can be hard to make.
Key Takeaways:
-
In December 2022, it was estimated that 1.5 million layoffs and discharges occurred on a monthly basis in the United States.
-
In most cases, your employee should not be surprised at their termination. However, there are some office policies that will require immediate removal from the company. Violations can include things like violence, harassment, or abuse.
How to Know When to Fire an Employee
In December 2022, it was estimated that 1.5 million layoffs and discharges occurred on a monthly basis in the United States. This means firing employees is much more common than you may think. So how do you know if you should fire an employee or not? Chances are, if you’re already thinking about firing someone, it’s already a bad sign.
However, just having the thought isn’t enough to actually terminate someone’s employment. There are rules and protocols you must follow in order to keep things professional and civil. Here are some common and legitimate reasons to consider firing an employee in your organization.
-
Multiple warnings. We all make mistakes. At a place of employment, employees should be notified about any issue that concerns them directly. Managers should provide their employees with a plan to improve and give them opportunities to correct their behavior. If the behavior is not corrected, they may need to be terminated.
-
Poor morale. If an employee is a bully or tends to stir up drama, it could have a detrimental effect on the rest of your team. Even if they are a high-performing employee, a bad apple in the bunch could spoil the morale of the rest of your team. It’s better to remove that individual from the company to let the rest of your team thrive.
-
Decreased productivity. If an employee is unable to hold up their end of a project, it could damage productivity across the team or business. An employee should be responsible for their tasks and meeting deadlines. If they can’t get the job done, it may be time to find someone who can.
-
Extreme apathy. We all have bad days at work, but if you’re working with an employee who doesn’t care about their projects, coworkers, or customer, it can have a bad effect on your business both internally and externally. It’s best to part ways with people who have lost the drive to perform their job well.
-
Major violations. There are some office policies that will require immediate removal from the company. Violations can include things like violence, harassment, or abuse. Employees who participate in these violations should not be given warnings or second chances — it’s best to terminate them and not look back.
How to Fire an Employee
Once you’ve determined whether or not you are terminating a specific employee, it’s important to consider a few different things before giving them their notice. The way you terminate your employee may differ depending on your business and the reason for ending their employment, but these are still important considerations to make.
-
Provide an improvement plan. As mentioned earlier, when appropriate, it’s important to give your employee a chance to improve. Sometimes the employee may only need a small adjustment to get better. Even if you end up firing them, it’s important to exhaust all options before doing so.
-
Gather your documents. Firing someone is an uncomfortable task, so it’s important you prepare beforehand. Gather all of your necessary documentation and even consider practicing your conversation before actually sitting the employee down.
-
Choose a time and place. Set a meeting on your employee’s calendar and consider having the conversation when business impacts are minimized. Consider having this conversation in a place like a conference room where you can have privacy but can still have access to security if necessary.
-
Don’t rush. Even though you’re terminating an employee, it doesn’t mean you have to burn a bridge by rushing through the process. Ensure the employee feels supported through the process and has access to any resources available to them as they transition out of the company.
-
Provide the facts. You may not like the employee you’re terminating, but it’s important to stick to the facts and not berate them for who they are as an individual. Follow your local laws or employment contract for the required notice period, and be sure you understand what you can and cannot say before entering the meeting.
-
Protect your company. Be sure you have adequate documentation for the termination that you can produce should the employee threaten a lawsuit. Properly documenting the reasons for ending an employee contract can save you from larger headaches down the road.
-
Include HR. You should never fire an employee alone. It’s important to be prepared enough to have human resources with you during termination, especially because employees may react emotionally.
-
Don’t surprise your employee. Besides committing major violations, your employee should have plenty of prior warnings about their termination and not be surprised when you finally have the conversation. When an employee is surprised, lawsuits or other pushback are more likely.
-
Stay consistent. Be sure your reasons for termination stay consistent for each employee. You can not fire someone for certain infractions if other employees have committed the same ones and still remain employed. Be consistent, have clear rules, and don’t play favorites.
When to Fire an Employee FAQ
-
What should you never do when firing an employee?
Firing an employee is uncomfortable, but it’s important you address it in a professional way; for example, you should never fire an employee over email.
It’s important to be sure you terminate your employee face to face and explain your reasoning behind it. It’s important to stay calm and not get into an argument, even if the employee is emotional.
Other things you should never do when firing an employee are making their termination vague or surprising them by ending their employee contract. It’s important you exhaust all other improvement options before firing them, except in extreme cases where the employee has committed a major violation.
-
How do you properly fire an employee?
There are a number of steps to take when firing an employee. First and foremost, be sure you’re solid on your reasoning for termination and identify and document the issues your employee has had.
Consider offering them an improvement plan and helping them fix any issues. If they are unable to improve, then you can move on to firing them.
Terminating the employee should be done face-to-face with their manager and an HR professional. It’s important to stick to the facts and provide documentation if necessary. Be clear on termination steps like getting employee property back and any important documentation the employee may have.
-
Does HR have to be present when you fire an employee?
Though it’s not law, it’s important to ensure you have a member of your human resources team present when firing an employee. This is because you want to make sure someone documents the meeting and observes how the termination was performed. They act as a neutral third party in case of any issues that arise later.
Human resources should also be in attendance to answer any questions you may not know off the top of your head. They may also choose to do a separate exit interview without you to get feedback from the employee leaving the company.
Although firing an employee is never a pleasant task, you can make the job easier on yourself by ensuring you’re adequately prepared to end their contract. To make the process easier, you can always provide them with severance. It’s important to make sure the employee understands the reason for their termination, so they don’t pursue legal action.
References
Author
Caitlin Mazur
Caitlin Mazur is a freelance writer at Zippia where she has written 140+ articles that have reached over 1 mil viewers as of June 2023. Caitlin is passionate about helping Zippia’s readers land the jobs of their dreams by offering content that discusses job-seeking advice based on experience and extensive research.
