Is your Company Experiencing Downsizing? Read our top 10 Tips to Terminate Professionally
An Article by TorontoJobs.ca

Our TorontoJobs.ca Outplacement Division has come up with these tips to assist you with future terminations.

The main question most employers have when laying off staff is “How do I conduct the termination in a professional manner?” Listed below are tips to ensure that the process is conducted in a proficient and efficient manner.

1. Think about how you would feel if you were in their shoes
The question to ask yourself is how you would like the process to be handled if it were happening to you? For example, a successful termination should never be conducted by email explaining that the job has been downsized. This method can cause anger and frustration. Employees appreciate the consideration of being told of a termination face to face.

2. Establish and follow procedures
Ensure that you have reviewed the Employment Standards Act (ESA) or consult with an employment lawyer to be certain that regulations are followed. Follow any company policy with respect to terminations.

Please click the link for an article on Determining Reasonable Notice
http://www.hrthoughtleader.com/HRTL/News/NewsItems/The+issue+of+reasonable+notice+depends+on+the+facts+of+each+case.htm

3. Arrange a time to speak with the employee in person (privately)
You should avoid a termination in a glass enclosed office; instead try to do it in an office away from others. The ideal location to conduct a termination would be in a meeting space (i.e: boardroom) and not in the supervisors office. If the terminated employee is upset it will allow them to show their emotions without being embarrassed. The terminated employee’s privacy should always be respected and there should never be any interruptions during the termination.

4. Draft a termination Letter
A termination letter must be drafted prior to the termination. This letter should include reasons why the employee has been terminated, the date the termination will commence and should be signed by the employee being terminated and the immediate supervisor.

5. Two/Three people should be present during the termination process
This procedure should be followed to ensure that there are no “he said, she said” questions afterwards. It is best that the termination is conducted by the immediate supervisor, HR rep and a compassionate person. Having another person present (for example, a TorontoJobs.ca outplacement counselor or an HR representative) ensures that a witness is present and can be called on in the event of a legal dispute as to what was said at the termination. It is also a good idea to have another person present who is compassionate and can help the terminated staff member gain composure.

6. Do not conduct the termination on a significant day
It is best to terminate someone on a non significant date or time. It is not a good idea to conduct the termination on the person’s birthday or if the person recently had a family member pass. These times are sensitive and would not look good on the employer’s behalf if the case were to go to court.

7. Tell them early in the day
If you were to be downsized, how would you feel if you worked all day only to be told at the end of the day that you are no longer needed? It would leave you feeling angry and frustrated.
***from a legal perspective the date and time the termination is conducted is not relevant.

8. Terminate early in the week
Research has proven that Friday afternoon is the worst time to terminate an employee. Terminating an employee early in the week allows the employee to get the relevant forms they need to file employment insurance and get a start on their resume as soon as possible.

9. The termination should not be confrontational
A termination should never be heated as a result of emotions. If the employee begins to yell to express their anger, do not retaliate. At that point indicate that the meeting has ended and finish immediately. You should never raise your voice in response and never become aggressive when talking to the employee, it is vital that you remain composed.

10. Keep it short and to the point
The meeting should only last 10-15 minutes in length. The termination is not a time to get into a discussion about the employees personal issues. The termination should address only work related occurrences and remain relatively short and to the point.

11. Provide an explanation
Be honest with the employee. If the market has slowed and it does not look like it will improve in the near future, let them know. If the company’s revenues are down bring this to their attention if they are not already aware of this information.

12. Address all administrative issues
Explain to the terminated staff when they should expect a copy of their Record of Employment (ROE) and ensure it is provided in a timely manner and state when they should expect their last paycheque. For complete info on ROE and how to fill out the required information please follow the link below:
http://www1.servicecanada.gc.ca/eng/ei/employers/roe_guide.shtml#empDetailedInfoBlock.

13. State your business policy for giving references
References are an integral part of the job search process. Some companies may not be legally allowed to give out references if it is stated in their corporate policy. If so, explain to the candidate what the best possible solution is regarding future employers. A solution to strict reference policies is by providing a letter of reference. The letter could indicate positive attributes of the employee if the termination was conducted due to restructuring. Follow the link below for a complete article on work references:
http://www.hrthoughtleader.com/NR/rdonlyres/3B6EA8AA-04BB-4DD7-A1D7-522AEE170E3B/0/postemploymentreferencelettersguidelinesmccarthy.pdf

14. Provide assistance
Job transition assistance helps! If the person has not looked for a job in several years it is nice to have professional help. Outplacement Services are designed to ensure candidates are well prepared for the job search process. Outplacement Services will help reduce the employee(s) job search time, assist with their resume and cover letter, provide support and preparation for the transition and can help with emotional and mental issues that a job loss can cause.

15. Get any company belongings back
Company belongings include keys to the building and any passwords to computers and telephones. This ensures that there is no confusion later on. Make sure that once the person has left that computer passwords are changed immediately. Have a checklist for organization property that should be returned by the employee. These may include office or building keys, laptop computer, cell phone, pager, pass card, etc. It’s easy to forget something when you’re trying to get through a stressful termination meeting, and notes will help.

16. Allow the person to get their belongings at a later time
If the employee is in a distraught state, the best option is to walk them to the door and ask that they come back later in order to pick up any personal belongings. This ensures that the person will have time to control their emotions.

17. Document the reasons for termination/Draft a termination letter
The reason(s) for the termination should be documented and explained to the terminated employee(s). This helps to ensure that there is no confusion between the employer and employee. Keep a copy of the letter in the employee’s personnel file.

18. Remaining Employees
Advise the remaining employees of the termination. Explain any circumstances that may have caused the decision such as a loss in revenue or a poor economy. Explain to them that help is being provided to the terminated staff if applicable.

This information has been brought to you by our TorontoJobs.ca Outplacement Division. Our Outplacement Services are designed to assist companies and individuals in the termination process. The service has been designed to assist companies when terminating an employee related to individual performance; layoffs, downsizing or restructuring. To contact our Outplacement Team please call (905) 566-5627 ext. 2873 or email outplacement@TorontoJobs.ca or for more information visit: http://www.torontojobs.ca/en/html/outplacement.html

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