October 4, 2015
Q: What do I need to know about how to go about firing an employee?
A: Among the many enjoyable aspects of running a small business, there are some less desirable responsibilities. Most owners probably would agree that having to fire an employee ranks among the most difficult.
Many things may justify termination - poor performance, abusive or disruptive behavior, excessive tardiness and absences, among others. While a warning, coaching or change in responsibilities may solve the problem, an owner can't always afford to take a wait-and-see approach. Employees who don't measure up to expectations can be a drain on the business's growth, reputation and working environment.
In most states including Texas, an employee may be fired at any time for any reason, or no reason at all, but there are limits. For example, federal law prohibits employees from being terminated for reasons of age, race, gender, religion or disability. It's also illegal to fire employees for complaining about illegal activities, health and safety violations, or discrimination and harassment in the workplace. Employees also have the right to take family or medical leave, military leave and time off to vote or serve jury duty.
Should you have legal grounds to fire an employee, be sure to document all the reasons and when they occurred, plus any disciplinary measures taken and the results (or lack of them). Along with justifying your action to the employee, this will help protect you against any subsequent claims that the firing was discriminatory.
Now for the tough part - actually firing the employee. You should do this in a private setting, with another person present to witness how the conversation unfolds. If you're concerned that the employee may become violent, it may be helpful to have security personnel close by.
Be open and honest with the employee, explaining from the outset the reason for the meeting, including measures taken to correct problems and their outcome. Give the employee some time to collect any personal belongings, but also make sure he or she is promptly escorted off the premises.
You are required by law to notify the employee about eligibility for unemployment insurance, and any benefits such as a continuation of health insurance, if applicable. This can be done at the meeting or in a follow-up letter.
The employee also may be entitled to receive accrued vacation pay or sick leave in the final paycheck, as well as commissions, bonuses and unfulfilled company expenses.
Q: What do I need to know about how to go about firing an employee?
A: Among the many enjoyable aspects of running a small business, there are some less desirable responsibilities. Most owners probably would agree that having to fire an employee ranks among the most difficult.
Many things may justify termination - poor performance, abusive or disruptive behavior, excessive tardiness and absences, among others. While a warning, coaching or change in responsibilities may solve the problem, an owner can't always afford to take a wait-and-see approach. Employees who don't measure up to expectations can be a drain on the business's growth, reputation and working environment.
In most states including Texas, an employee may be fired at any time for any reason, or no reason at all, but there are limits. For example, federal law prohibits employees from being terminated for reasons of age, race, gender, religion or disability. It's also illegal to fire employees for complaining about illegal activities, health and safety violations, or discrimination and harassment in the workplace. Employees also have the right to take family or medical leave, military leave and time off to vote or serve jury duty.
Should you have legal grounds to fire an employee, be sure to document all the reasons and when they occurred, plus any disciplinary measures taken and the results (or lack of them). Along with justifying your action to the employee, this will help protect you against any subsequent claims that the firing was discriminatory.
Now for the tough part - actually firing the employee. You should do this in a private setting, with another person present to witness how the conversation unfolds. If you're concerned that the employee may become violent, it may be helpful to have security personnel close by.
Be open and honest with the employee, explaining from the outset the reason for the meeting, including measures taken to correct problems and their outcome. Give the employee some time to collect any personal belongings, but also make sure he or she is promptly escorted off the premises.
You are required by law to notify the employee about eligibility for unemployment insurance, and any benefits such as a continuation of health insurance, if applicable. This can be done at the meeting or in a follow-up letter.
The employee also may be entitled to receive accrued vacation pay or sick leave in the final paycheck, as well as commissions, bonuses and unfulfilled company expenses.
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