CONTENTS
Terminating Supervision: Overview The last step in the discipline procedure is termination, a most difficult and sensitive process. Most employment is based on mutual consent; both the employee and the organization have the right to terminate employment at will, with or without cause, at any time. Employment at will, the employer's right to fire without documented proof or reason, has eroded as workers' job rights have gained legal status. However, an employee can be terminated if the supervisor has a valid case.
The loss of a job frequently occurs because of circumstances beyond the control of the employee. As organizations respond to increasingly competitive environments, positions are eliminated or transformed to such a degree that their current incumbents are no longer equipped to handle them. As a result, supervisors are called upon to conduct termination.
In addition to discharge -- involuntary employment termination initiated by the organization -- common circumstances under which employment is terminated include layoff and resignation. Instead of "fired," employees are "terminated," "separated" or "downsized." Layoff is involuntary employment termination initiated by the organization for non-disciplinary reasons. Resignation is voluntary employment termination initiated by an employee.
Wrongful Termination
The costs - both human and financial - of a poorly handled termination are extremely high. The rise in wrongful termination suits is due, at least in part, to mismanagement of the termination process. When asked, many terminated employees report that they sued their former employer because of the way they were treated, rather than for any financial gain.
When a terminated employee sues the organization, both parties lose. For the organization, the loss includes legal fees, time and energy of key personnel, internal morale, and external public relations. The terminated employee loses time and energy that could have been directed to the job search.
Termination Action Plan
Once the decision to terminate an employee has been made, the supervisor develops an action plan. A pre-termination planning decision to release an employee, who no longer fits the organization's needs, enhances an organization's development objectives.
Schedule the termination as soon as possible. Move as quickly as possible to a termination date.
List the resource people (for example, human resources representative, lawyer, and outplacement consultant) available to provide support or assistance in the termination. A HR representative can outline the terms of the severance. Also, he or she can serve as a witness to what was actually said during the termination conference. An outplacement consultant assists the terminated employee in conducting an effective job search. As a result of this service, outplaced employees make a career transition more rapidly, with less overall stress, and have a distinct advantage over non-outplaced job seekers. The organization benefits from reduced severance packages, reduced likelihood of lawsuits, maintenance of morale and productivity of remaining employees, and increased community support for the actions of the organization.
Outline the primary reasons for the termination. Explain the reasons for the termination clearly, concisely, and candidly. In addition to performance issues, reasons for the termination might include change in strategic direction, mismatch between skills and job, reorganization, new technology, or change in ownership.
Develop a security strategy. If the individual has access to sensitive information, take precautions. For example, change computer passwords and secure documents. Arrange for the individual to separate out, under supervision, personal effects from organization property. Personal effects can be forwarded after a qualified person has had the opportunity to evaluate their contents. Point out that these actions are designed to protect the individual as well as the organization, so that no one can be falsely accused of removing confidential documents.
Determine time and location. If the termination is held in the individual's office or in a neutral location, not your office, you can control the length of the meeting and avoid a prolonged discussion or debate.
Plan internal and external announcements. Determine how the news will be communicated inside and outside the organization. A formal internal announcement concerning the departure and replacement of the employee is appropriate. Notify key external suppliers and/or customers with whom the individual had regular contact of the individual's replacement.
Termination Agenda
1. Communicate the decision.
2. Explain the decision.
3. Explain severance terms.
4. Discuss the release.
5. Discuss resignation option.
6. Explain outplacement assistance.
7. Review provisions to develop reference guidelines.
8. Discuss arrangements to clear out personal effects.
9. Introduce outplacement consultant.Review
Today's Manager Managerial Functions Management Levels Managerial Roles Management Skills Management History Business Environment Supervision: Planning Planning Process Operating Guidelines Objective Setting Action Plans Problem Solving Supervision: Organizing Organizing Process Power and Authority Delegating Communicating Managing Time Supervision: Directing Teambuilding Consensus-Building Selecting Training Leading Motivating Supervision: Controlling Controlling Process Coaching Counseling Disciplining Evaluating Terminating