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How to Terminate an Employee

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Terminating an employee is never an easy decision, however in some instances you are left with no alternative options.

Termination should be about behaviours and performance and should never be about personal issues or preferences.

Some steps to consider when making the decision to terminate an employee are

  • Documentation
  • Counselling / Correction
  • Written Warnings – How many?
  • A ‘show cause letter’ – How and When?
  • Interview and Termination
  • Post Termination Procedures and Processes

Many small businesses find themselves in difficulty when terminating an employees’ employment. This is usually due to the ‘heat of the moment’ emotions and reactions coupled with a lack of procedural fairness.

It is important to take professional advice and ensure you get the process right. This can save you thousands of dollars in fees and penalties if you have acted outside legislative guidelines.

Further Information

Philip Lye is Director of Biz Momentum Pty Ltd. He works with small to medium businesses to help them cut through the maze of people matters. Clients get specific actionable strategies to protect their business interests. For more information on Philip, visit www.biz-momentum.com and subscribe to his free monthly e-zine.

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