Firing an employee should be a last resort. But how can you prevent it?

Human Resources

There are a lot of factors to consider before firing an employee, including the size of the current labor pool. Most employment consultants agree that firing an employee should be a last option, after all other avenues have been exhausted.

“Firing used to be a first resort, but now it is the last, especially since we are experiencing labor shortages — there are not a lot of people out there,” says Joyce Gioia, a certified management consultant and partner at The Herman Group, Greensboro, N.C.

Before a manager decides to terminate an employee, there are other options to try first, including the most important step of performance management, according to Gioia. This is where managers or supervisors clarify expectations and set goals with employees and then check in regularly to make sure the goals are met. And, if they aren’t being met, determining why, says Gioia.

Jonna M. Contacos, a nationally certified professional in human resources, PHR, and vice president and partner of HR Consultants, Somerset, Penn., agrees that prior to termination an employer should make sure they have clearly shared what the functional expectations of the job are.

“What I mean by expectations are things that can be observed or measured, and what a manager needs to say to an employee is, ‘here’s what I expect, here’s what I’m getting,’” says Contacos, who is also a certified trainer. “We as employers often fail to do that,” she adds.

A willing employer tries to determine reasons why an employee is failing to meet company standards.

Gioia further explains that usually there are four main reasons for expectations not being met.

“The first reason is a lack of knowledge — does a employee lack resources to do the job,” asks Gioia.

Another reason can be attributed to a lack of skills. An employee might not know or have the skills needed to sucessfully complete a job, says Gioia.

“Attitude is the hardest to cope with. The saying is true: hire for attitude, and train for skills and knowledge,” she says.

Lastly, distributors should consider the environment an employee is working in. It might not be right for success.

Besides determining reasons for employee’s insufficient performance, finding ways to improve the current situation is also an option.

Contacos explains that employers should follow what she refers to as “best practices” in company business. “Best practices are managers giving the employee chances to improve work before termination,” she explains.

Another option that employers tend to overlook is getting a personal coach for a struggling employee, says Gioia.

“This depends on the job. If it’s hourly, then you may decide to coach the employee yourself,” she says.

Gioia explains that hiring an outside coach might produce better results. “If it can cost a company $10,000 or more to replace a valuable hourly employee and only $500 to hire a coach, then that investment is worth it,” she says.

However, the consultants that SM interviewed agree that sometimes termination is the best and only option.

“Termination depends on how critical the need. If that person is poisoning the workforce, then employers need to get rid of that person at the earliest possible opportunity,” says Gioia.