How to Terminate an Employee – The Plan

In the first three parts of our series we discussed the very difficult problem of how to terminate an employee.  We do not refer to  union-controlled jobs or contract labor.  These comments apply to those technology positions where you pay an employee for performance, assess that performance, and act accordingly.

There are two major categories that motivate your decision to terminate, either

  1. You have run out of work for this employee
    1. There are no other jobs available in the company because you are already long on people everywhere and the company is downsizing.
    2. There are no other jobs available in the company because the person you chose to terminate does not have the skills necessary for transfer to another job.
  2. You need to terminate for cause.

Today, we discuss the “plan.”  A good manager knows when the company is downsizing.  Keep abreast of the company and get a sense of what will be happening to the company in the next few months.  If you really want to help your employees, then start working on a plan now to help them transition.

It is debatable how much you tell the employees about the upcoming events.  If layoffs are imminent, then rumors run rampant and exhaust the energy of the company.  This is one of the biggest hidden liabilities to any company in trouble.  Employees spend an inordinate amount of time discussing the rumored layoffs with other employees, looking on-line for jobs, and generally taking the last remaining wind out of the company’s sails.  Unfortunately, this is at the time when the company desperately needs every breath from every employee.

As a manager, I do not in any way comment on rumors.  Even if I know a rumor to be true (or untrue), I do not address it, period.  I make that policy publicly known because once you start commenting on rumors, there is no end.  Employees begin to “bait” for what information you know and do not know and pretty soon you are embroiled it the fray and become the source of even more rumors because you “commented on this one, did not comment on that one.”  Also, in more than one instance, I have vehemently denied a rumor (“because it was so blatantly absurd”) only to see that rumor come true:  senior management above me actually did take such a “ridiculous action” and, for whatever reason, chose not to inform me.  Such happenings make you look totally out of touch with senior management and only serve to further erode the employees’ confidence in the company.  Ignore rumors entirely and do not acknowledge or comment on them.

If an employee really is not suitable for employment, you obviously would not want to recommend that person to anyone else.  Certainly, do not try to solve your personal dilemma of having a bad employee by transferring  her to somewhere else in the company.  This happens all the time and is the product of HR’s mistaken belief that every person fits somewhere in the company.  Some employees are simply not ready for the jobs or structure of your company.  They may need more education, they may need to solve a drug or drinking problem, they may need to get their lives in order, they may need an attitude change, or whatever.  It is perfectly correct to look for solutions but do not make “inter-company transfer” a part of your plan unless that is really the right solution for the company.  You owe it to your peers and superiors to make right choices and proper recommendations.

If it is just a matter of downsizing and this is the second or third round for your company, then you may find yourself terminating some very good people.  This is unfortunate and tragic, but does happen.  Knowing this to be the case, continually examine your network of peers in other companies.  Check with them to see how their jobs are faring.  Know which ones are hiring so you can recommend that company to the employee as an opportunity to investigate.  If possible, get the contact information for the Human Resources department of that company.  These companies are not usually competitors but just companies you do business with, companies where a good employee could continue his or her career.  Build a reputation as a manager who takes care of his people.  You may not be in control of the company, but you can certainly make a difference in each employee’s life.

Keep a mental list of your employees and know which ones are “at the bottom.”  Every manager develops a criteria for elimination.  Think about your criteria, carefully, and make sure your reasons are legally defensive, unbiased, and fair.  To the extent possible, make those reasons impersonal.

The most important part is to actually have a plan.  Take your technology management job seriously.

 

 

 

Uncategorized

Leave a Reply