Termination done wrong can have very serious consequences.

In this article we are going to discuss some of the areas that employers need to be aware of when it comes to a good termination versus a wrongful termination. Getting it right is extremely important in our litigious society.

Wrongful Termination Examples:

  1. Implied Contracts: Implied contracts can either be verbal or they can be in writing. Let me give you a quick example on this. If your employee handbook says that you will discipline your employees up to and including termination, and yet you use your “At-Will” status to terminate an employee your could be facing a lawsuit that you might lose. You see having that verbiage implies that your companies has some kind of progressive discipline program and yet you failed to use one of those steps. Even though the steps are not mentioned just the words up to and including gives the impression that there are in fact steps that would equal a progressive discipline policy.
  2. The Termination of an employee without good cause when the employee has a track record of good performance reviews along with regular raises. The first question that will come up in this type of situation is if the employee was such a bad employee why have you given them raises regularly especially in view of the fact that their performance evaluations have been so good?
  3. Any time that you terminate an employee who is either an older employee or an employee who is considered a protected classification. When dismissing an employee under these conditions you need to make sure that you have solid documentation.
  4. Make sure that you never say anything to an employee that would weaken your “At-Will” status. Says things like you can work here as long as you want could be considered verbiage that would violate your “at-will’ status.

Termination Done Right:

  1. The most solid way to do a termination is to make sure that you have properly documented the issues that you are having with your employee properly.
  2. If you use your “at-will” status as a vehicle to fire an employee make sure that you do not disclose any other reason for the dismissal. The way to do this is to tell the employee that you are an “at-will” employer and that you have decided to exercise your “at-will” status here is your check and thank you for your time here. Keep it simple and sweet.
  3. Keep into the habit of doing performance reviews and documenting when you have problems with your employee
  4. Always try to rehab your employee first, before you decide to terminate.

Following these simple steps can help protect your company from any potential wrongful termination lawsuits. I can promise that being involved in a wrongful termination lawsuits will not be cheap and it will not be fun.

Here is a link that will give you some more information on what a wrongful termination lawsuit could cost you. http://www.nolo.com/legal-encyclopedia/damages-wrongful-termination-case.html