Employee Termination Process, Procedure & Types | HRMantra
Employee Termination Process, Procedure & Types | HRMantra
5-6 minutes
Employee termination, also called employee suspension, is done when an employee is not fulfilling his responsibilities and hence, is fired or dismissed from the job by the employer. But sometimes, if the employee decides to leave his present company for various reasons, that also falls under the label of employee termination.
Employee termination is the worst step taken by an employer against employees because it is not usually easily forgotten by people. Mostly, if somebody has been terminated from his job, then it becomes tough for him to find another job.
Now, since you know what employee termination as a concept is, let''s go a bit deeper and see the kinds of employee termination, employee termination policy, and much more.
Below are the various forms of suspension that may be imposed on a worker:
- Voluntary termination: The termination is brought about by the employee himself or herself, where he or she may not enjoy the job anymore, not getting along with his or her employers or colleagues, going for higher education, spouse has found a better job in another part of the country, lack of growth/upskilling opportunities, and so on.
- Forced termination: Employers terminate their employees on various grounds, such as reducing the number of employees owing to the slowdown of business and cutting costs; poor performance of employees; no longer being able to cope with the job; etc.
- Employee At Will: Employers reserve the right to suspend the employee at any time for any given reason. That means employees will have no other option but to quit the company. In such cases, the employer makes sure to document the reason for their termination in order to show it as proof in the future if required.
- Mutual Termination: Employers and Employees both mutually agreed for it. Since it is mutual understanding from both the parties. Whatever conditions, a termination process is taken up this termination is considered the easiest and hassle-free out of all.
After the spread of Corona Virus, 49 percent of organisations considered layoffs and more than one-third among them froze and stopped new hires.
Common Reasons For Employee Termination
Though reasons for termination may vary from company to company, we have outlined some common reasons below.
From Employer''s Viewpoint:
- Low Performance: Employees are supposed to be the pillar of business. When an employer sees employees performing low for a long period of time, even after so many warnings, then they take the decision and make them suspended.
- Violation of Company Rules: Each and every employee is supposed to read the rules and accept them on his/her joining day at work. The violation can not only lead to his termination but also several legal complications.
- Harassment: Harassment may be sexual, physical, mental, or emotional.
- Leaking Confidential Information: An employee who leaks the crucial data that can favor the competition is asked to leave the organization, and this happens to be a thumb rule for the other companies as well in India.
From Employee''s Perspective:
- Better Job Offer: To most of the employers, an employee leaves the company when he has a better offer in his hand.
- Change in Growth: From nowhere to develop his/her skills, to no elevation/salary hike, employees develop disinterest in work giving reasons.
- Poor Relations with Co-workers: There are chances that the employee is unable to work with anyone or a specific individual or team.
- Personal Issues: He/ she may require shifting to another state/country or must have been preparing for some competitive examination.
As per the Microsoft survey, 41% of the working population across the globe has thought of quitting their jobs in the period of COVID-19.
Employee Termination in Easy Steps
- Take a Final Decision: If no warning has been given, employers should take a step ahead and give a warning before deciding the termination of the employee. If the reason is low performance, try to put him/her in a PIP process for a month. Choose termination only when nothing works.
- Tell Them The Reason: Employers must have the courtesy to tell the employee that he/she is being suspended. Whatever the reason may be, the employer should be considerate/professional enough to tell the employee in person or through mail.
- Do the Paperwork: After telling him/her, see that the paperwork is done. The employee termination policy should be given. Take his/her signatures on the agreement as consent for the policy.
- The employer should clear every due of the employee before the final good-bye. Usually, employers do not clear the employee''s dues under the pretext of saving their money and spoil their own name in the market.
- Send-Off Proper: Employers should actually provide the old-school send-off to the departing employees. Merely wishing them all the best in life is also humane. If possible, his/her exit interview should also be conducted by the employer.
In conclusion, termination is the most frightening term to every worker in the world. And yes, the employer also does not like this process. The sad aspect is it''s not as much of a complication to avoid the termination process. All workers just have to be the best of themselves in the company''s premise, value the rules, and respect their term members. Similarly, the employer should care that he is providing the best working conditions and learning and growing work postures to his employees.
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