How To Fire An Employee
Firing an employee is never easy. Many managers get nervous. Most dread the task.
Some employees leave because of a policy violation. Others leave because of unacceptable behavior, cutbacks, or a role being eliminated. When every other option is gone, a manager, business owner, or HR manager may have to deliver the news.
This article shares my personal experience firing employees over the years. It also includes a curated set of outside resources on scripts, checklists, legal issues, and more. Use it if you have a termination coming up and want to handle it well.
Sometimes There Is No Other Choice But To Terminate
Some people just have to go. Some deserve to go. Others made one bad decision that ended up costing them their job, and those are the ones I feel for most.
Sometimes it really is that one bad act that gets someone terminated.
How I Handled Delivering The News
What got me through firing employees was focusing on the issue at hand, not on how it would affect the person.
If I focused on how the person was feeling, or what they’d go through to find another job, the process would have been much harder. Focusing on the violation, or the reason for termination, made it easier to stay on track and let the person know there was no other way.
I’ve found it’s best for everybody if you get to the point and keep it as short as possible.
What To Prepare For Before Terminating An Employee
Have a checklist ready before you sit down with the employee. It should cover every issue you need to address. See the Checklist section below.
Have your documentation ready. Prepare a script if that makes it easier for you. Don’t bring up past issues that aren’t relevant to this termination.
Terminating an employee is easier when you have an HR department with a solid understanding of employment law. They’ll have procedures in place, and they’ll make sure you have the documentation you need to do it properly. I’ve also had to let people go without an HR department involved.
Bring a witness into the room. Choose someone from HR, or another manager or supervisor. Avoid a witness who holds the same rank as the employee you’re firing — it’s best if they hold a management position.
An Example Of How A Termination May Play Out
Here’s a fictional example of how a termination conversation might go:
“Thanks for coming into the office today, Joe. I’ve brought in Jack as a witness.
I’d like to talk to you about the error you’re aware of from June 16. You didn’t verify the order number as our SOP requires. Because of that, the order went to the wrong customer. One customer was shorted, and another got an overage.
We lost the customer who didn’t get their order. They had a big sale and had customers coming in for a product they didn’t have, because of this error.
Joe, this is the third time this has happened — once on January 15, once on May 12, and now on June 16. You’ve had more than one chance to fix this, and it’s still happening.
On-time delivery, every time, is something we take seriously here. Because of this third repeat error, we’ve made a decision. We’re terminating your employment with cause, effective immediately.
I’ll go with you to collect your personal belongings and walk you out. Here’s a copy of your termination letter — it explains your last pay and any unpaid vacation owed to you. HR will follow up with the details on your final pay.”
At this point, the employee may react, or they may not. I’ve had people say, “Okay, I understand.” I’ve had others plead their case, which I don’t find effective — they’re already aware of the error, and the meeting is there to inform them of the decision.
Well-prepared companies don’t fire people on impulse. In a hostile situation, a suspension while you review the facts is often the better move. Otherwise, let the employee know about the issue and walk through what happened before deciding anything.
These meetings exist to inform an employee of the outcome, not to relitigate it. I once had an employee who wanted to vent after being given the news. There were three of us in the room, and none of us engaged. We let the employee vent, then walked them out.
If we’d engaged, the conversation could have gone on for hours. The decision was already made — there was no point in discussing it further.
Never Say Sorry
This may sound harsh, but keep it in mind when you terminate someone: never apologize. Saying you’re sorry can come across as admitting fault.
You may feel bad about how things turned out. Keep that to yourself.
Instead of apologizing, point to the reason — company policy, job reductions, or the specific circumstances that led to the decision. That keeps the termination grounded in a valid reason, not something you did wrong. Stick to the precise facts that caused it.
Does It Feel Bad Letting An Employee Go?
At times it’s painful. Other times it isn’t.
I’ve let people go in both situations — when they were at fault and didn’t try to correct their behavior, and when they weren’t. When someone didn’t want to be there and it showed in their work, letting them go didn’t bother me much. I felt it was best for everyone involved.
Other times, I had to let someone go because of a policy breach. You can’t bend the rules for someone just because you like them. Being fair means treating every employee the same way.
Those are the situations where I feel there was nothing else I could do. I still wonder how that person will get by without a job, and whether they’ll find another one.
Termination Due To Cutbacks
Sometimes you have to lay people off or terminate due to budget cuts. These hurt the most, because cutbacks usually mean the economy or the business isn’t doing well.
When the economy is struggling and you have to let people go, it’s often harder for them to find work elsewhere. That’s the hardest part of a cutback-driven termination.
If you’re planning a larger layoff, check whether the WARN Act applies to you. Employers with 100 or more employees generally must give 60 days’ written notice before laying off 50 or more employees at one location.
Severance Pay
When you let someone go without cause — meaning it isn’t their fault — a compensation package may go along with the termination. Whether you owe severance depends on your company, the employee’s years of service, and the employment laws in your area.
A common industry benchmark is one to two weeks of pay for every year the employee worked for you. An executive arrangement might include a lump sum, continued benefits, and access to a placement agency to help them find similar work. All of that combined is what people usually mean by “a package.”
If I’m running the company, I offer the best package I can to employees who were dedicated and put in years of service. I also weigh what they received during their employment — if the role came with strong bonuses, benefits, and pay, a smaller package may make sense. If someone worked for average or below-average pay and benefits, I lean toward being more generous.
In my opinion, it’s best to be fair and generous when you can. If you’re terminating employees for financial reasons, offering a generous package may not be possible.
Know The Employment Laws In Your Location
Employment laws vary by country, state, and province. If you have an HR department, you’ll naturally work with them through the process. If not, get legal advice to make sure your termination is lawful — a lawsuit for wrongful termination is the last thing you need.
Federal and state law generally bar firing someone for reasons like race, gender, national origin, disability, religion, age 40 or over, or pregnancy. You also can’t fire someone for refusing a polygraph test, for their immigration status if they’re legally authorized to work, for reporting an OSHA safety violation, or in retaliation for asserting a legal right.
An employee can always seek legal counsel after termination. Be ready for someone to come back through a lawyer and claim wrongful termination. Make sure your termination is legitimate, and back it up with clear, accurate documentation. When it comes to the law, your word alone isn’t enough.
Key Points and Facts About Firing an Employee
Before the meeting:
- Review your documentation — performance reviews, warnings, and any coaching notes.
- Line up a witness, ideally from HR or another manager.
- Prepare a short script so you stay on message.
During the meeting:
- Be direct and brief. Don’t relitigate the decision.
- State the reason clearly, without apologizing.
- Avoid bringing up past issues that aren’t relevant.
Legal and financial basics:
- You can’t fire someone for a protected reason — race, gender, disability, age 40+, pregnancy, and more.
- Severance typically runs one to two weeks of pay per year of service, though it isn’t required in every case.
- Employers with 100+ employees generally must give 60 days’ notice before laying off 50+ people at one site, under the WARN Act.
Action Steps for Firing an Employee
Prepare before the meeting:
- Pull the employee’s personnel file and documentation.
- Decide who will serve as your witness.
- Write a short script covering the reason for termination.
Deliver the news:
- Get to the point quickly.
- State the reason for termination without apologizing.
- Let the employee react, but don’t debate the decision.
Wrap up the details:
- Explain final pay, unpaid vacation, and any severance.
- Collect company property and escort the employee out.
- Have HR follow up with paperwork and final pay details.
Checklist for Firing an Employee
- Review documentation.
- Performance reviews, written warnings, and coaching notes.
- Confirm the legal basis.
- Make sure the reason isn’t a protected category, and get legal advice if you’re unsure.
- Choose a witness.
- HR or another manager, not a peer of the employee.
- Prepare severance and final pay details.
- Calculate any severance, unpaid vacation, and final paycheck amount.
- Schedule the meeting.
- Use a private space, and keep it short and to the point.
- Deliver the news.
- State the reason, stay calm, and don’t apologize.
- Collect company property.
- Keys, badges, laptops, and any other company-owned items.
- Follow up.
- Provide the termination letter and have HR confirm final pay.
FAQ: Firing an Employee
Can you fire an employee for bad behavior outside of work?
- In most cases, yes, if the conduct is legal to consider and doesn’t involve a protected activity or characteristic. State laws vary, so check your local rules before acting.
Can you fire an employee for gossiping?
- Generally yes, especially if it disrupts the workplace. It becomes illegal only if the termination is really retaliation for a protected activity, like reporting harassment.
Can you fire an employee for talking badly about the company?
- In most cases, yes. The exception is when the comments count as protected activity, such as discussing wages or working conditions with coworkers.
Can you fire an employee for no reason?
- In most U.S. states, employment is “at will,” meaning you can let someone go without giving a reason, as long as the real reason isn’t an illegal one.
Can you fire an employee for drinking on the job?
- Yes, drinking on the job is typically a valid reason for termination. If the employee has disclosed a disability under the ADA, get legal advice before acting.
Does severance pay work the same everywhere?
- No. It depends on company policy, your location’s employment laws, and the employee’s years of service. A common benchmark is one to two weeks of pay per year worked.
Related
Performance Issues With Employees
Types of Employee Training Programs
Managing Employees That Don’t Listen
References:
- UpCounsel — Script for Terminating an Employee
- Patriot Software — Employee Termination Checklist: How to Stay Compliant & Professional
- Paychex — Separation of Employment: An Essential Checklist
- Paychex — How To Terminate an Employee: Guide & Checklist
- The Alternative Board — How to Gracefully Let an Employee Go and Fire Them the Right Way
- Forbes — 5 Tips On How To Fire An Employee Gracefully
- Forbes — How To Fire Someone In The Nicest Way Possible
- Lauren Bacon — How to Fire Someone with Compassion and Respect
- Chron Small Business — How to Fire People With Bad Attitudes
- The Grocery Store Guy — How to Fire an Employee With a Bad Attitude (the Right Way)
- Insperity — 6 Vital Steps Before Terminating an Employee for Poor Performance
- The Balance Careers (LiveAbout) — Sample Dismissal Letter for Poor Employee Performance
- Forbes — How To Fire Someone You Like
- The Muse — How to Fire Someone You Actually Care About
- Chron Small Business — How to Let Go of an Employee Who Is on Probation
- Inc. — How to Let Go an Unstable Employee
- ESI Group — Planning Terminations That Involve Potentially Violent Employees
- Monster — How to Get Through a Hostile Termination
- The Balance — When an Employer Can Fire You By Phone or Email
- The Grocery Store Guy — Can You Fire an Employee Over the Phone? (Or by Email?)
- Inc. — How to Fire an Employee Without Being Sued
- Entrepreneur — 10 Steps Needed to Properly Fire Someone
- FindLaw — Wrongful Termination
- The Balance — Wrongful Termination: What Is It?
- HR Morning — 7 Things Employees Get Wrong About ‘Wrongful Termination’
- Nolo — Illegal Reasons for Firing Employees
- FindLaw — Wrongful Termination Laws: Illegal Reasons
- U.S. Department of Labor — Plant Closings and Layoffs (WARN Act)
- Rippling — Typical Severance Package: What Employers Need to Know
- Employment Law Handbook — Firing Employees for Bad Behavior Outside of Work
- Harvard Business Review — When Can You Fire for Off-Duty Conduct?
- The Grocery Store Guy — Can You Fire an Employee for Gossiping?
- The Nest — Can an Employer Fire Someone Who Is Involved in Gossip About the Boss?
- SHRM — Workplace Gossip: What Crosses the Line?
- The Grocery Store Guy — Can You Fire an Employee for Talking Bad About the Company?
- Quora — Can You Fire an Employee for Talking Bad About the Company?
- NJBIA — Can You Prohibit Employees From Bad-Mouthing Your Company on Social Media?
- UpCounsel — Can an Employer Fire You for No Reason?
- Employment Law Handbook — Firing Employees With Drinking Problems
- SHRM — Drunk at Work: What HR Can Do About Employees Drinking on the Job
- Fisher Phillips — Drinking on the Job? Five Things Employers Need to Know
- Men’s Health — What It’s Like to Get Fired
- BBC — What Does It Feel Like to Be Fired?
- V. James DeSimone Law — 5 Things You Need to Know When You’re Offered a Severance Package
- Investopedia — The Layoff Payoff: A Severance Package