Make sure that you protect your organization. In Virginia, like many states, employment is “at will.” This means that you can fire an employee for any reason or no reason at all. However, there are exceptions to this doctrine. Most of these have to do with terminations for discriminatory reasons. If you are not sure, speak to a qualified attorney or human resources specialist.
No actions will guarantee that your unemployment tax rate won’t increase or that you will not suffer a lawsuit, but you can help to protect your organization from these costs by documenting the events leading up to termination. List facts. For example, Suzie arrived more than 10 minutes late to work on the following dates, or Suzie did not turn in her weekly sales report on the following weeks. Do not include conclusions. For example, Suzie did not care about her job. Make sure to reference any incidents of work rule or company policy violations. If you can demonstrate that the employee violated work rules or company policy, you might be able to successfully fight an unemployment claim.
Handle the actual termination efficiently and respectfully. If you have gotten this far, the decision to terminate has been made. You have thought deeply about the decision, investigated any incidents, if appropriate, and produced the documentation. Here are a few suggestions to make the meeting as pain-free as possible.
1. Hold the meeting at the beginning or end of the day. Arrange a time when few co-workers are present. Hold the meeting in a private place. If possible, set it up where co-workers cannot see or hear the employee being terminated.
2. Notify your information technology personnel, giving them enough time to disconnect the terminated employee’s access to your systems.
3. When feasible, we suggest having a third party, such as an HR professional, present for the termination. This reduces the probability of the employee making false claims regarding what was said during the meeting.
4. Think through and even rehearse what you will say before the meeting. An employment attorney or an HR professional can help here. Explain your decision to the employee. Do not go into excessive detail. Do not try to convince the employee that your decision is correct. Above all, do not get into an argument with the employee. If the employee starts to argue, explain that the decision has been made and that it is final.
5. Have the employee return any company property, including computers, phones, keys, swipe cards, etc.
6. Give the terminated employee any documentation needed for benefits to continue (if appropriate).
7. Allow the employee to gather personal possessions. This might be done immediately or after or before work hours. A manager, HR professional or the business owner should stay with the employee during this time. Don’t let the employee access the computer, take company documents, throw things away or attempt to clean up the desk.
Although terminating an employee is rarely easy, sometimes it is necessary. Many small-business people are reticent to fire employees. This is understandable. Employees can feel almost like family, and in small businesses, they are often friends or family members. While we have frequently heard business owners lament, “I should have fired Suzie months ago,” we have never heard even one say, “I terminated Suzie too quickly; I should have given her a few more months before letting her go.”
If you need to dismiss an underperforming employee, follow the steps above to make the process flow as smoothly as possible.
Richmond-area business expansions, openings and closings
88 Street Food
Urban Myth Street Food
Revel Market & Bar
Rams House Bar + Kitchen
Stanley’s
Popshelf
P.T. Hastings Seafood
Killa Dillas
Genova’s Pizza Station & Take Out Kitchen
The Veil Brewing Co.’s new taproom
Luxe New American Bar & Grill
Wok This Way
Eggs Up Grill
Mayu Sushi & Thai
Max’s on Broad
RICH Nail Lounge
Sycamore Jewelers, Midlothian
Mi Casita Restaurant
Ironclad Coffee
Grit Coffee
Rockler Woodworking and Hardware
Boiling Crab Richmond
Blue Cow Ice Cream Co.
Suzy Sno
Diablo Doughnuts RVA
The Brass Tap
Graybo’s Sports Cards
Blue Ridge Cyclery
BigWife’s
Jeni’s Splendid Ice Creams
CarLotz
Acacia Midtown
Zoom Room Richmond
Torchy’s Tacos
Planet Fitness
Raising Cane’s Chicken Fingers
Three Notch’d Brewing
Retail or Resell
Marshalls
Raising Cane’s
My Favorite Muffin
Mattress King
Anthony’s on the Hill
The Mill on MacArthur
Doug and Polly White have a large ownership stake in Gather, a company that designs, builds and operates collaborative workspaces. Polly’s focus is on human resources, people management and human systems. Doug’s areas of expertise are business strategy, operations and finance.