Terminating An Employee Do S And Don Ts To Stay Compliant

Bonisiwe Shabane

-Oct 28, 2025, 5:53 PM

terminating an employee do s and don ts to stay compliant

Terminating an employee is never easy. It’s a sensitive process that employers must handle with empathy and adhering to strict legal guidelines. One misstep can have negative legal ramifications, damage your company’s reputation, and create a hostile work environment. This blog post aims to demystify the termination process, providing you with essential “do’s” and “don’ts” to ensure you stay compliant and minimize potential risks. There are two types of employee terminations: Voluntary terminations are by far the easiest to deal with.

Employees initiate the process and resign. Simple as that. These types of terminations can be invaluable, as exit interviews allow the company representatives to have a candid conversation and gather information to improve the organization. Involuntary terminations, on the other hand, are more delicate and must be handled discreetly for two reasons: As a SHRM Member®, you’ll pave the path of your success with invaluable resources, world-class educational opportunities and premier events. Demonstrate your ability to apply HR principles to real-life situations.

Stand out from among your HR peers with the skills obtained from a SHRM Seminar. Demonstrate targeted competence and enhance your HR credibility. Designed and delivered by HR experts to empower you with the knowledge and tools you need to drive lasting change in the workplace. There’s no easy way to fire someone. Even when the decision is justified, the conversation can be uncomfortable, emotional, and deeply personal. Most managers dread it, not just because they’re unsure what to say, but because they understand what’s at stake.

A poorly handled termination doesn’t just affect the person being let go. It can shake the confidence of the entire team, damage trust, and raise questions about how the company treats its people. Ethical termination practices help protect more than just legal interests. They reflect the organization's character, leadership, and values in moments when those things matter most. “The key to effective, human firing is to focus on how you treat people during the process.” — Joel Peterson, former Chairman of JetBlue Terminating an employee is more than a business decision; it's a human one.

How it's handled can have a ripple effect across the organization, influencing morale, trust, and even long-term retention. When termination is conducted with clarity and respect, it sends a message that people are valued, even in difficult moments. It reinforces accountability while maintaining dignity. And it shows that leadership is willing to do the hard things the right way. ⚖️ Legal Do’s and Don’ts During Employee Termination: HR’s Survival Guide Terminating an employee is one of the toughest responsibilities HR professionals face — legally, emotionally, and reputationally.

Whether it’s for poor performance, restructuring, or misconduct, terminations must be handled with empathy, fairness, and strict legal compliance. A single misstep can trigger wrongful termination claims, court battles, or loss of brand value. Here’s your survival guide to get it right. 🟢 SECTION 1: DOs – What HR MUST DO During Termination 📌 Legal Tip: In labour disputes, documentation is your strongest defence. Employee termination is a challenging and often uncomfortable aspect of managing a business.

It’s crucial, however, to navigate this process carefully and adhere to the law to avoid potential legal issues and protect your organization’s reputation. In this blog post, Matthew Miklave of the Law Office of Matthew T. Miklave explores the dos and don’ts of employee termination, highlighting key steps and potential pitfalls to help you make informed decisions while staying compliant with employment laws. Before initiating any termination process, review your company’s employee handbook and established policies. Ensure that you follow any guidelines or procedures outlined for terminations. Consistency in applying your policies can help you avoid discrimination or unfair treatment claims.

Maintain thorough and accurate records of an employee’s performance issues, including written warnings, performance improvement plans (PIPs), and any relevant communication. This documentation can justify the termination decision and protect your company against wrongful termination claims. When delivering the news of termination, do so in a private and respectful manner. Be clear about the reasons for the termination, and provide any necessary information regarding final paychecks, benefits, and the return of company property. Avoid confrontational or aggressive language during the termination conversation. When terminating an employee, things can be rather touchy, and there is room for mistakes.

The entire process involves legal and personal complexities that can impact your business, but understanding the playing field can help safeguard everyone involved. Luckily, there are other ways you can come to understand these guidelines just as well without going through courses such as the Master of Laws (Business Law) online. This article will describe what you should and shouldn’t do as an employer during a termination. Firstly, some important legal and ethical considerations exist when terminating an employee. While some policies may be stricter than others, it’s always good practice to treat everyone fairly to avoid any legal troubles. Make sure that employees understand their job responsibilities and performance standards from the get-go.

Feedback also ensures that you avoid surprises when termination occurs. It is also essential to be clear and constantly update job descriptions to have something specific in writing to reference. If you’re up for the extra effort, you can also keep records of the employee’s work history. Maintaining records of any performance issues, disciplinary actions or other incidents that are leading up to the termination is critical. These records serve as evidence in case of any disputes while also providing an accurate account of events leading to the outcome. Just ensure that you keep all details in a clear format that also includes the dates, times and names of individuals involved in the incidents.

It is crucial for employers to have defined processes in place for handling employee terminations as outlined in their policies and procedures. If you can follow these guidelines as per company policy, it means you’re going to be consistent and fair throughout the process. It will help reduce stress on your behalf, knowing that you’re following the best laid-out plans and employees won’t be up for any nasty surprises. All Scheduling, HR, and Payroll features in a single, streamlined system Build schedules, optimize staffing levels, and manage labor costs Use AI to guide staffing levels based on sales, foot traffic, and more

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Terminating An Employee Do S And Don Ts To Stay Compliant

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