STAFF MANAGEMENT “The Firing Discipline - How to do it well"

“I just can’t take it anymore!  I’ve been putting up with that difficult assistant for too long and it’s time for her to go!  But how can I do it without upsetting the others?  And how do I do it without having to pay unemployment?”

When you decide it’s time to terminate an employee, there are several steps to take which will minimize the risk to your practice and make the transition as smooth as possible.  (Disclaimer: These suggestions are based on research and my personal experience and should not be considered legal advice.  If you’re not one hundred percent confident in your ability to manage this process, do not hesitate to consult an attorney.  An hour of his/her time is a small price to pay for a smooth termination.)

That being said, here are some guidelines to follow:

BEFORE ANY DISMISSAL:

1. Establish a history of poor performance reviews.

Even in “at-will” states, federal law requires that the employee must be fired “for cause” in order to escape paying for unemployment compensation.Having regular performance reviews in the practice are the best way to establish poor performance.  But if you don’t have periodic reviews, make sure that you meet with the employee several times beforehand and discuss their performance issues.  The first time may be a verbal warning (which should be noted in their personnel file), but all subsequent discussions should be witnessed by your Office Manager and documented in writing. The personnel record should clearly reflect each and every conversation, your concerns and what you expect.

2. Do not continue to give raises or positive performance reviews to someone who is not performing well and may be dismissed.

Such employees should be placed on “probation” and all pay raises suspended until such time as their performance improves.  Giving any recent pay increases can be used against you in an unemployment claim.

3. Provide specific behavioral or performance goals.

Give the person clear explanations of the behavioral change expected. Also, make sure that the employee receives any printed materials that you use to guide your staff, like the office policy manual or your code of conduct. Record all this information in the personnel file. Do not allow the employee to change the subject or blame others during the meeting.  If others are blamed, reassure the person that this discussion and any other similar conversations remain confidential and any issues you may have with other staff will not be shared in this meeting.

4. Give a clear warning.

As you approach the decision to dismiss, make sure that you explain that you’re not satisfied with their performance, and give your employee a limited period of time, such as thirty days, to improve. Make it clear that unless she changes, you have no choice but to terminate her. When interviewed for unemployment benefits, a documented warning of possible dismissal is key to avoid paying benefits.  Finally (and this is key), make sure you set up a second meeting at the end of the time period to review progress!  It’s too easy for both of you to avoid this deadline.

DURING ANY DISMISSAL:

1. If the employee needs to be fired, do it quickly and in person.

Have a witness present during the meeting in case the employee threatens retaliation. If you are a man and you are firing a woman, make sure your witness is also female. The Office Manager is usually the person to witness and document the dismissal.  Make sure the Office Manager is also clear on these guidelines so as not to say anything that could be detrimental to your case.

2. Do not provide a lengthy explanation; simply say that you need to do what is best for the practice.

You can say something like, “When we hired you, we all had high hopes, but clearly we are not a good fit for you.” Remember that the decision to terminate this person has been made, so there is no need to lecture them or discuss their shortcomings this time; you just want them out.  Be polite but firm. Do not waver.  The time for “one more chance” is over. 

3. If appropriate, offer severance pay andexplain any other benefits they’ll be entitled to after they leave your employment – COBRA, etc.

Have this information available in writing and have the employee sign an acknowledgment as to what severance was given and the benefits that were explained.  

4. They need to leave the office immediately.

You or your Office Manager should escort the employee to their desk or locker to get their personal items, and then to the door. Do not allow them to continue to work in the office; a dismissed employee may retaliate if allowed to stay for several days or weeks.  Collect any company credit cards or office keys they might have and change any computer passwords immediately.

AFTER ANY DISMISSAL:

1. Document the final meeting clearly and completely.

Record what you said and what the employee said. Use direct quotes as much as possible.  There’s a good chance that these notes will be important to avoid paying an unemployment claim or in a case of a wrongful termination or racial discrimination suit.

2. Maintain confidentiality about why the employee was dismissed.

Only you and the witness should know what happened.  There’s a good chance the former employee has friends in the practice and any derogatory remarks you make may be shared with her.   This indiscretion could then be used against you if there is a legal action. More importantly, it may lead your remaining staff to believe that you speak poorly of them at other times.

3. Do not disclose the reasons for a dismissal to anyone calling for reference on a past employee.

Give dates of employment only, even if this is a professional friend or colleague.  (I made that mistake once and received an angry threatening phone call from her husband.) Any employer will understand your reluctance to offer any additional information and will have decide about hiring her for themselves.  If you disclose any issues you had with this person, it may place you in legal jeopardy.

 Conclusion

Firing an employee is never fun. In most cases, the rest of your staff will be relieved.  (They probably were annoyed by her behavior too.) Letting someone go is painful.  It may be hard, but keep in mind the long-term benefits. Nearly everyone who has done so was glad afterwards and the practice can finally move forward with a new sense of positive energy and purpose.