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Step-by-Step Guide to Terminating an Employee Gracefully

terminating an employee

Hiring, training, and managing employees are three of the challenging tasks that every HR employee has to face, but terminating an employee is a whole different story. Even though letting an employee go is something that must be dealt with professionally, it’s hard to be the one breaking the bad news. 

To be honest, the termination of employees is never going to be a pleasant experience. Whether it’s a termination for a cause or a layoff, you might have to take a deep breath or two before giving the lowdown to the employee. 

But you know better than anyone else that there will come a time that you have to encounter such a situation. Whatever the reason for the termination is (so long as it’s legal), you have to be practical and fair during the entire process. Bear in mind that how you fire an employee sends a powerful message to your remaining employees. 

If worse comes to worst and you are now down to your final resort, take a look at these tips to see how to terminate an employee the right way.  

1. Document everything before terminating an employee.

Documentation is a critical step you must make, so you must have a record of the entire process. While this step takes time, it will serve as your friend that will defend you and your decision. 

For reference, you can use a Progressive Discipline Warning Form to document the whole procedure.

Read: The Right Way to Get Eye-Opening Feedback From Employees

2. Be clear when hiring.

From the very start, you must be direct with the requirements you’re looking for in an employee. It is only right that you provide them with a solid understanding of their responsibilities before their first day in the company. 

Remember that each of us comes with our own perspectives that don’t always match with our boss’. For this reason, you have to define their role to make it easier to spot and correct their shortcomings.

3. Be clear when firing.

The rule remains the same when terminating an employee. If you must fire them, do so — but with grace and respect. Before holding the employment termination meeting, you must talk with the employee first. Be straight to the point. No one wants to talk about the weather or last night’s basketball game before hearing the grave news. Also, you have to be prepared to answer questions about the employee’s last paycheck, health insurance, and unemployment benefits.

Read: 10 Modern HR Responsibilities: Guide for Employers

4. Upon breaking the news of terminating an employee, get ready for emotion while keeping yours in check.

Some employees might not bat an eyelid upon hearing the news. But some might go through a mixture of emotions from shock to grief and at worst — anger. 

The best way to deal with their range of emotions is to show empathy. Avoid using any harsh word during the termination of an employee. Regardless of why they were let go, always be respectful even if they express anger or rage.

5. Don’t humiliate the employee.

Getting fired is one of the worst things that could happen to anyone. You don’t want to add fuel to the fire by humiliating them in front of others. There’s only one way you can fire an employee– and it’s in private behind closed doors.

If you terminate an employee in front of everyone, you also risk draining out the morale of the other employees. Keep in mind that this is not just bad for that individual employee, it can also put the employee morale of the company at risk.

Read: Everything You Need to Know About Employee Development Planning

6. Have a witness.

When terminating an employee, you and the manager should be the only two people with them. You may grab a witness, like a trusted employee or a lawyer if necessary.

Having a witness during the talk is important in case the terminated employee comes back with a lawsuit. In this way, the witness can confirm the legal and ethical procedure you’ve had when terminating the employee. 

7.  Don’t surprise them.

Terminating an employee due to a policy violation is a different story. But if the reason for the termination is poor performance, you need to give them a warning and a performance review before firing them.

You must do performance reviews at least twice a year to assess whether all the employees are doing well. If you’re lucky enough, giving them an honest performance review is enough to kick them in the pants, and you won’t have to fire them.

You should always give the employees a chance to improve first before resorting to firing them. But if the employee still doesn’t improve despite your warnings, don’t wait any longer and fire them already.

Read: Get to know the top 7 benefits of workplace diversity.

8. Tell the other employees that you terminated an employee.

Most of the time, it’s necessary that you tell the other employees that their co-worker has been fired. You might use this as an opportunity to tell them about the changes in workload or new opportunities available. However, it’s much better if you don’t go into detail because it might result in gossip-fest around the workplace. Always maintain professionalism throught the process of terminating an employee.

It’s such a dream to have all the employees perform at a high level and you’d never have to go through the entire process of letting someone go. But sadly, that’s not just realistic. In a realistic setup, terminating an employee is just one small part of management.  Despite that, always remember that you have to do it legally, with civility, and compassion. 

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