How to Handle Employee Terminations: A Manager’s Guide to Fair and Effective Firings

Firing someone is one of the hardest things you’ll ever have to do as a manager. It’s not something you ever want to do, but sometimes it’s the only option left. If you’re in that position, there are a few things you should know—things that go beyond what you might read in a typical business magazine.

The Different Types of Firings

In my experience, there are five main kinds of firings, each with its own nuances.

The first is for poor performance. This is the most common type and the one that requires the most documentation. You need to have had several conversations with the employee, clearly outlining how they’re falling short. This is the kind of firing where HR tells you to keep a paper trail, and they’re right.

The second type is for gross misconduct. This is straightforward. If someone is stealing from you, you don’t need to have a conversation about it. They know why they’re being fired, and you do too.

Then there’s the scapegoat firing. This one is trickier. It’s usually in response to some kind of external pressure—bad press, for example. Someone needs to take the fall, and unfortunately, that person might not always be the one most at fault.

The fourth type is the “you don’t fit my direction” firing. This is the softest kind. It’s the kind where you sit someone down and gently suggest that maybe they’d be happier somewhere else. Often, they’re relieved.

Finally, there’s the reduction in force or RIF. Technically, it’s not a firing, but it accomplishes the same thing. It’s a way to reduce headcount without having to go through the painful documentation process of a performance-based firing. But even this comes with its own legal and ethical minefields.

The Firing Process

Firing someone is a bit like breaking up with a significant other. You’ve been in a relationship, and now it’s time to end it. The logic is similar: do the long-term positives outweigh the negatives? If not, you start thinking about making a change.

But unlike a breakup, there’s a lot more at stake—legally, financially, and emotionally. No one is all bad, just like no relationship is all bad. There’s always a reason you hired that person in the first place, and those positives might still be there. It’s why firing is so hard. Inertia plays a big role too. It’s easier to let things slide than to go through the messiness of firing someone. But sometimes, you have to do it.

Documentation Is Key

If you’re going to fire someone, document everything. Every conversation, every incident, every promise made and broken. This isn’t just for HR; it’s for you. It protects you and the company from any potential legal fallout. But more importantly, it forces you to be honest with yourself about why you’re making this decision.

Performance appraisals can help, but they’re not enough on their own. Feedback needs to be timely and specific. Waiting until an annual review to tell someone they’re not meeting expectations is not only unfair, it’s also ineffective. People need to know how they’re doing in real-time, not months later when it’s too late to course-correct.

The Two Stages of Firing

Before you fire someone, try to give them a chance to improve. Have a frank conversation. Tell them what’s not working and offer to help them find a better fit—either within the company or elsewhere. Sometimes, that’s all it takes. Most people don’t want to stay in a job where they’re not succeeding.

If that doesn’t work, it’s time for a performance plan. This is essentially a last-ditch effort to get the person to meet the necessary standards. The plan should be specific, measurable, and time-bound. And it should be clear that failure to meet the plan’s goals will result in termination.

One of three things will happen: the employee will improve, they’ll find another job, or they’ll fail and be fired. Whatever the outcome, the performance plan makes it clear that you gave them every chance to succeed.

How Not to Fire Someone

Whatever you do, don’t fire someone like the company I once worked with did. They were doing layoffs and had already deactivated the key cards of the people who were being let go. The employees found out by swiping their cards at the door and realizing they no longer worked. That’s not just bad management; it’s inhumane.

If You’re the One Being Fired

Being fired is tough. But it doesn’t mean you’re a failure. It just means you weren’t the right fit for that job. Don’t take it personally, even though it’s hard not to. Allow yourself to grieve, but don’t lash out. Take some time to reflect before jumping into another job search.

Conclusion

Firing is a last resort. It’s something you do when all other options have failed. The best way to avoid it is to hire the right people, motivate them well, and give them regular feedback. But if you do find yourself in a situation where firing is the only option, handle it with care. Be honest, be fair, and be as humane as possible. After all, firing someone is not just about ending a working relationship; it’s about recognizing that sometimes, the best thing you can do for both parties is to let go.