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Wealth Beat News > Small Business > 10 Tips For Terminating Employees Without Escalation
Small Business

10 Tips For Terminating Employees Without Escalation

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Last updated: 2023/06/02 at 3:45 AM
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Cheryl Contee is the Author of Mechanical Bull: How You Can Achieve Startup Success, CEO at ImpactSeat.org & Founder of DoBigThings.today.

In a nation that is both litigious and still adapting to new standards of workplace conduct—including diversity, equity and inclusion—letting go of an employee can be hazardous to your bank account and possibly your health.

The fact is that, according to The Violence Project, workplaces are the most common sites of mass shootings. And most of those shooters had been fired from their jobs. Whether accurate or not, most of us are familiar with the slang term “going postal” that’s been around for decades. While this is an extreme conclusion, it’s important for us to recognize the sensitive nature of letting someone go.

I’ve been a CEO of small tech companies for a while now and before that, I was an executive with reports inside other companies. So I’ve hired a lot of people and sometimes have had to fire some people. It’s unpleasant for everyone involved. To date, I’ve never faced legal action or had any other escalation from an employee I’ve had to let go. I believe that is because the approach I’ve taken endeavors to be humane and respectful of each person’s dignity.

Here are my ten tips to terminate team members safely, effectively and thoughtfully:

1. No Surprises: The moment of termination should never, ever be a surprise. Explicit oral and written communication should begin at least two weeks prior to the day of dismissal. Warnings should have been made clear multiple times before the call or sit-down that the person’s future at the organization is in jeopardy.

2. Document: Include in written forms across multiple weeks all the ways in which the employee has underperformed (if relevant).

3. Decorum: No matter how angry, impatient, disgusted and/or disappointed you may feel toward the person in front of you, it’s critical to remain as compassionate yet firm as possible.

4. Gratitude: Even if the employee’s performance has been suboptimal, most people have tried their best (at least at some point). Thanking the person for their efforts and contributions to the firm is always appreciated at this moment.

5. Triangulate: Make sure there are always two people in the room with the employee to be terminated, partly in order to avoid “he said, she said” and to provide a possible witness.

6. Care-taking: This is almost always a scary and vulnerable moment for people. Thus, I recommend providing some sort of severance that is commensurate with the employee’s tenure and seniority. It is especially harder for older people who are senior staff to find new jobs quickly. For senior staff, I think two-to-four months is a minimum amount, whereas for entry-level, two weeks to two months may suffice. An equivalent amount of COBRA is welcome of course, but these represent possible floors.

7. Severance Agreement: Ensure that, in exchange for financial support, the outgoing staff member signs a well-thought-out separation letter that provides accrued vacation hours (when relevant), money and COBRA for a defined period. This letter should include confidentially, NDA and anti-poaching language. It should also explicitly prevent any future legal action by the employee.

8. Shutdown Systems Access: Ensure access to all systems for the specific employee is deleted during or immediately after the termination meeting to prevent angry energy and/or sabotage from entering your digital workspaces.

9. Next Steps: The staff member’s world may feel suddenly like it’s caving in. Next steps are helpful in keeping an emotional situation from escalating and can help refocus the employee on near-term events. Let the team member know what will come next in the process: timeline, materials to review, equipment to return, exit interview, departure date, etc.

10. Thank them again. Give thanks for their efforts and provide a brief pep talk statement (e.g., “You are very talented and a hard worker. I’m sure you will find something soon”) and wish them the best of luck in a position more suited to their strengths. Let them know if they can expect a positive reference for future employers, if appropriate.

This flow has worked time and again for me. I believe it’s essential in a changing, volatile world to handle people with grace, if only for one’s own safety. Given that employees can review you and your firm publicly online or via word of mouth just as you can evaluate them, it’s smart to let team members go in a way that you can remain on the best terms.

Hopefully, you can be a part of helping America become a more respectful and kinder place for everyone. After all, no matter where you stand in the organization, there’s always the chance that you might be the one facing the chopping block of layoffs. The golden rule still applies even in a fluid and dynamic climate.

Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?

Read the full article here

News June 2, 2023 June 2, 2023
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