Stay or go, and when to terminate an employee
“Should I stay or should I go now? If I go, there will be trouble. And if I stay, it will be double. So come on and let me know”
—The Clash
Although they’re singing about the pain of an on-again, off-again romance, The Clash shows that ending any relationship—including an employment relationship—is never easy. Of course, not ending that problematic relationship can bring twice as much trouble, as Mick Jones sings. But how do you know when it’s time to cut ties with an employee who is just getting by?
Employees who clash with company culture
When it comes to employees who ‘clash’ with the company, the worst offenders are easy to identify and discipline. Termination may be an obvious consequence for an employee who physically strikes another employee, or one who commits a major theft from the company. Other problem employees may be much harder to pick out.
For example, the same employee who is beloved by their co-workers for their high spirits may be better known to you as the employee who rarely meets a deadline. As a manager, you find their excuses much less funny than the wisecracks they share with the team. Perhaps you have a long-serving employee who refuses to adapt to procedural change, or to learn the new system the organization has adopted. Or you may have an employee whose performance has walked the line between “satisfactory” and “needs improvement.” They aren’t the worst employee, but your coaching attempts have failed, and they have always been on the low end of ‘fine’.In these situations, would you ask these employees to stay or go?
Terminating an employee: when to make the call
Such decisions are neither easy nor inexpensive. Depending on the justification, terminating an employee is very difficult. When possible, it can require paying the employee notice or severance, plus the cost of turnover when you hire and train a new employee. Other costs are harder to calculate but just as important to consider. When deciding whether or not to terminate, determine how your internal and external stakeholders are likely to perceive the change. Will remaining employees feel scared or bitter about your decision? Is the terminated employee likely to post an angry rant online that could damage your employer brand? Will this employee take valuable client and vendor relationships with them when they leave?
Despite these risks, termination may save costs, as a poor performer or toxic contributor can cause greater damage by staying. In other cases, waiting for an employee to transfer, retire, or quit may be the appropriate decision.
Terminating employees can get complex. Need answers now?
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