Termination – The Why, When, and How

Termination is often referred to as “capital punishment in the workplace.” That might sound a bit dramatic, but it is difficult to overstate how traumatic it is for an employee to be fired. But it’s also stressful for the manager directing the termination and for those co-workers left behind. Here are some practical guidelines to help you walk through a termination decision and implement it in a compassionate fashion.

Is Termination Appropriate? Sometimes the answer is clear as the employee has committed an act of gross misconduct, such as theft, insubordination, or does not report to work for several consecutive days. But other situations are less clear – sometimes the employee “walks the line” between acceptable performance and termination level performance. Or perhaps the employee’s attendance and attitude are positive but the position has evolved and his/her technical ability is now inadequate. In these types of circumstances I tend to consider the following:

Tenure – in general, time, experience, and loyalty with an organization work in an employee’s favor. It should be more difficult to terminate a 15-year employee than a 5-month employee. New employees are working to find their place and create a positive impression, so if they present with an attitude issue or have problems getting to work or learning the job in the first few months, it’s not likely to get better as time goes on. The joint investment between the new employee and new employer is small so it may be better to recognize there has been a selection error and help the employee move on. But the longer-term employee has more invested in the company and the company in him/her, so in that situation it may be worthwhile to work through the difficulty, spend more time on coaching or develop a performance improvement plan.

Technical or attitude problem – it’s helpful to think of the “line-walker” in terms of the specific challenge they have. Are they struggling with understanding their role or has technology changed and the tenured employee is learning at a slower pace than expected? Again, I’m less likely to invest in the newer employee with a technical challenge but I’m willing to work with anyone who is making progress but needs a bit more help. If the problem is non-compliance or a poor attitude, then the decision gets easier– why tolerate or encourage the retention of employees with poor attitudes regardless of their length of service?

In many ways, the general approach I take in evaluating whether to retain or terminate an employee goes back to a fundamental of the science of business psychology.

Performance = Ability X Motivation

Both ability and motivation are necessary ingredients for success but I lean a bit toward a person’s motivation. This means if the person has the right attitude (motivation) I continue to work with them to improve their ability, but if motivation is lacking it is time for them to move on.

When and How? This blog can’t cover all of the things I typically plan for and consider prior to conducting a termination meeting. At HLA, we do have a checklist with more detailed information available so please call or email if you would find that helpful. But the most critical items to think about are:

Any concern for workplace violence? This is always an item to consider and a few appropriate questions to those employees close to the situation can greatly reduce the probability of this type occurrence.
Would this employee benefit from outplacement assistance? Professional outplacement assistance can help the former employee move forward which is in the interest of both parties.
Are there any significant events in the general environment or the employee’s world? It’s good to know if the employee has suffered a death in the family, is planning a wedding, or the day you’ve selected for the termination meeting is his/her birthday! Likewise, world events and major holidays should be considered. Yes, there typically is a HR moratorium on terminations between Thanksgiving and the New Year.
What happens after the meeting? It’s critical to have a detailed plan on how the employee gets home, how they collect their belongings, are they allowed to say goodbye to their coworkers, etc.
Legal considerations? Severance, discrimination, lawsuits? Every termination has numerous legal considerations which are too lengthy to cover in this short piece, but HLA has a strong legal network to guide you.

But beyond the checklists and necessary planning: a critical factor when conducting these meetings is how to help the individual preserve his/her dignity through this process. How can you help them save face when being let go? Choose kindness, choose empathy, listen and be respectful and considerate. It’s typically not constructive to debate the reasons for a termination but sometimes it’s helpful to allow a modest amount of venting to help the employee obtain closure. And recognize there is always a fair amount of shock involved and as a result, the former employee is unlikely to hear much other than, “we’re letting you go today.” Expect a need to follow-up to cover benefits such as COBRA or final paychecks.

At the outset I mentioned that termination affects at least three groups – the terminated employee, the manager making the decision or conducting the meeting, and those co-workers left behind. The final group is not often discussed but should be. Communication to the former employee’s work group is critical. Not the specifics of why the employee was let go, but what to say if a customer calls for the individual or if someone calls for a reference. Employees may be wondering “am I next” or “who is going to do the former employee’s work?” These are all reasonable questions and dealing with them is part of the process.

Termination. Not a pleasant topic but important nonetheless. We’ve just scratched the surface here. If you need assistance in this area, please reach out to HLA – we can help with that!