EMPLOYEE TERMINATION POLICY

 

Figure 1 (Nielsen L, 1999)

The simplest definition of an employee termination policy is a written document that details how employee termination happens inside your organization. It outlines each step of the termination process and provides guidelines for management and human resources staff. It's awkward enough for both human resources and the departing employee when an employee leaves a firm. The termination policy adds structure to the situation, making it less stressful. It also addresses everyone's expectations. For example, an employee understands that on their last day, they will be escorted out the premises and to their vehicle as a courtesy (and security) measure, not as an insulting gesture (Peirce et.al, 1982)

 

WHAT DOES YOUR ORGANIZATION NEED A TERMINATION POLICY

A written employee termination policy is essential for safeguarding your company from legal liabilities and the dangers that come with losing employees. From an ethical standpoint, the termination policy outlines how an employee facing involuntary termination should be treated with dignity.

 

TYPES OF EMPLOYEE TERMINATION

1.      Voluntary Termination-The worker takes the initiative to leave the company in this form of termination. A decision like this might be made for a variety of reasons, both professional and personal.

2.      Involuntary Termination-The term "involuntary termination" refers to when an employee is fired without their consent. It could be because to poor performance, poor employee behavior, or a breach of corporate standards, among other things.

3.      Employment at will-This sort of termination stipulates that an employer has the right to fire a worker at any time and for any cause.

4.      Mutual Termination-This form of termination is far less tumultuous because it is a mutually agreed-upon conclusion.( Wood et.al,2009)

 

EMPLOYEE TERMINATION REASONS

Both the employer and the employee can have a variety of reasons for terminating an employee. Here are a few examples:

From the Employer's Point of View:

·         Low efficiency.

·         Company rules have been broken.

·         Disciplinary Action against Employees

·         Harassment of any kind, including sexual, physical, mental, and emotional harassment

·         Cooperation issues and a lack of progressive discipline

·         Information leakage to competitors, etc.

 

From the Employee's Point of View:

·         A better job offer can be found elsewhere.

·         Lack of prospects for advancement, such as staff promotion, etc.

·         Lack of enthusiasm for the job.

·         Plans for studies, business, and retirement.

·         Workers who are dealing with personal challenges.

·         a sour working relationship

 

STEPS LEADING UP TO AN EMPLOYEE TERMINATION

1.      Reasons for termination

2.      Termination policy

3.      Employee Review process

4.      Inform the employee

5.      Severance package

6.      Proper send-off

 

-Reasons for formal employee termination

·         Compliance with employment laws-This can assist you avoid having to deal with wrongful termination allegations and lawsuits.

·         Transparency as an employer-This will aid in the avoidance of misconceptions.

·         Managing economic layoffs-Examine the appropriate legislation in the nations where you do business.

·         Taking disciplinary and performance actions

 

 

CONCLUSION

Termination is one of the most horrible experiences a person may have in their working life. It's what a worker dreads the most, therefore it's natural that termination will elicit strong feelings. Your job as an HR professional is to make the process as simple as feasible.

 

REFERENCES

Peirce, E.R., Mann, R.A. and Roberts, B.S., 1982. Employee termination at will: A principled approach. Vill. L. Rev., 28, p.1.

Nielsen, L., 1999. Paying workers or paying lawyers: Employee termination practices in the United States and Canada. Law & Policy, 21(3), pp.247-282.

Wood, M.S. and Karau, S.J., 2009. Preserving employee dignity during the termination interview: An empirical examination. Journal of business ethics, 86(4), pp.519-534.