Separating An Important Employee From Your Business

It can be difficult to terminate an employee. It’s always unpleasant for everyone involved, but it’s a necessary part of the job for companies that want to grow and succeed. People don’t usually like being let go, so it’s essential to care for yourself and your employees when handling the situation.

When an employee is terminated, the whole team must get involved. Here’s how to do it quickly, effectively, and humanely. Here are a few things to remember when you’re ready to let an employee go. And remember, empathy and dignity can help guide your decisions – as will any other policies or procedures you have in place.

Review Contractual Obligations Regarding The Employee

Often, an employment agreement, restrictive covenant agreement, or confidentiality agreement is instated into a contract to be signed by a new employee or an employee after being promoted. These contracts usually include provisions on whether an employer must provide notice and an opportunity to cure before firing someone and whether the employee is entitled to separation compensation.

Typically, the party at fault will not be terminated immediately but given a certain amount of time to remedy the problem before termination is sought. But, if that is impossible, the next steps usually follow.

Follow Standard Procedure When Terminating A Worker

In Florida, there are no terms regarding the cancellation of executive employee positions. However, you can negotiate more specific terms regarding the termination clause of a contract. Both employees and employers can agree to different periods in their employment contracts, such as “for cause” definitions that must be met before the employer can terminate an executive employee.

Likewise, it is not uncommon for judges and juries to expect written documentation supporting critical decisions that result in a person being fired. Because of this, it is good practice to identify and document the standard for this decision, including performance plans, corrective action notices, or final warnings. This can provide a protective paper trail in case a firing leads to judicial review.

Adding A Severance Package

Typically, severance is a one-time payment given to an employee upon his or her departure. This can be a considerable sum. When you’re in an excellent position to offer but don’t feel obligated to contribute, cash out with severance. It’s a thoughtful gesture to provide a little money in exchange for the employee releasing you from any claims. This protects your business and ensures they can easily transition to a new employer.

In addition, a severance agreement negotiated as part of a settlement can include provisions that protect the business from future claims or even add NDAs to prevent employees from leaking critical information to the public.


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