It’s never easy saying goodbye to an employee. Whatever the reasons for redundancy, as a business owner, handling employee exits in the right way requires a significant level of care and consideration – anything that happens during this time has the potential to reflect on the company as a whole which can have an impact on future hiring processes down the line.
Luckily, help is at hand. Keep reading for a complete guide on how to handle employee exits with dignity and respect.
Understanding Different Types of Employee Exits
Getting to grips with the different types of employee exits is crucial for handling them with the utmost respect. Here’s a quick rundown of each:
- Voluntary exits are when an employee leaves of their own accord.
- Involuntary exits are the result of a termination or layoff from the employer.
- Retirement exits mark the end of a long career.
Each exit is a transition for both employer and employee, and must be handled with compassion and care in order to preserve that relationship and maintain a level of respect that will serve to reflect well on the business as a whole.
Legal Requirements & Procedures
As a manager or business owner, staying on the right side of employment law is crucial when handling employee exits. Legal obligations include:
- Ensuring the relevant notice periods are provided as set out in the employment contract, or as stipulated by relevant legislation.
- Redundancy where applicable.
- Adhering to anti-discrimination laws in order to avoid unfair treatment, which could lead to further legal implications down the line if not followed accordingly.
- Maintaining documentation of the exit process for proper record-keeping, in case you need them for any legal purposes in the future.
This is why it’s important to always establish a clear exit procedure, with steps that are easy to implement and follow. Exit interviews are also an extremely constructive way to gather feedback on your exit strategy, and can help you put measures in place to improve where needed.
Best Practices for Communication
Possibly the most important factor when it comes to employee exits: communication. The way you communicate with an employee during their transition from the company will shape the exit process as a whole – focus on creating honest and open conversations that offer clear reasons for the employee’s exit, as well as offering support systems such as references or outplacement services.
Confidentiality and privacy are also crucial here. Not only will this help to support the employee who is leaving, but it will also promote the organisation’s reputation. If an ex-employee feels disrespected or embarrassed during their transition away from the company, this is likely to reflect badly on the management, turning other talent away from applying to roles in the future.
Communication Strategies During the Exit Process
If you’re a manager dreading the tricky conversation you’ve got coming up with an employee, keep these things in mind to boost your communication skills:
- Be a good listener. Allow the employee to express how they feel, along with any concerns or issues they might have, and demonstrate empathetic understanding in response. It’s important that they feel seen and heard during this time – try to avoid a one-sided conversation.
- Use a respectful tone. Avoid placing blame or judgement on the employee, no matter your emotions towards them. Even though they’re about to depart from the company, maintaining professionalism is crucial every step of the way.
- Offer support. Make sure the employee knows they have support systems in place to turn to should they need them, including assistance in transitioning their current workload and tasks to other employees for a smooth handover process.
- Express gratitude. No matter what’s happened, be kind – acknowledge the employee’s contributions to the company, and let them know how grateful you are for their work.
- Be clear. Outline the next steps in the exit process, including logistical details such as the employee’s final paycheck, the returning of any company assets, and what will happen in terms of any current benefits.
How to Dismiss an Employee
If you’re wondering where to start with dismissing an employee, it’s important to first establish whether the dismissal is based on valid reasons. What exactly are the reasons for their exit? You’ll need to have this clearly mapped out in order to properly communicate with the employee when it comes time to dismiss them, so make sure you have your reasons and that they’re a fair and just basis for dismissal, whether they might be poor performance, or gross misconduct.
Once you have your reasons mapped out, possibly by conducting a thorough investigation to back them up, deliver the news to the employee in a private and respectful manner. make sure you give the employee ample opportunity to respond. Explain your reasons clearly and empathetically, offering support where you can, and make sure they’re aware of what the next steps in the process are. Always remember to document everything in order to mitigate legal risks.
Dismissal Training for Managers
The dismissal process is such a crucial component of employee exits that it’s often in a company’s best interest to hire professional help designed to guide managers about how best to handle things. At the HR Department, we offer specialised training programmes designed to equip managers with the necessary skills and techniques to ensure a smooth and straightforward exit process that stays on the right side of the law.
Ensuring a Fair Dismissal: What to Avoid
There’s lots to factor in when it comes to ensuring a fair and just dismissal, not only for the consideration of what the impact will be on the employee, but also for avoiding any legal consequences as a result of unfair or wrongful dismissal. This is what to avoid if you want to stay in line with the law.
Unfair Dismissal
An unfair dismissal could be anything from dismissal without a valid reason, to discrimination, to lack of due process. If an employee thinks they have been unfairly dismissed, they may have the right to challenge their dismissal through employment tribunals or courts.
Wrongful Dismissal
A wrongful dismissal revolves around breaches of the employment contract or common law principles. Essentially, this means anything that violates terms set out in the employee’s contact, such as failing to provide proper notice or payment in lieu of notice.
If an employee thinks they have been wrongly dismissed, they have the right to pursue legal action against their employer to seek compensation.
Managing the Impact of Employee Exits on the Team & Organisation
An employee exit doesn’t just affect the manager and employee. Whether your team is big or small, any change in the workforce has the potential to impact the dynamic of an organisation, and has to be handled with care and respect.
Discreet communication is essential in order to avoid any office gossip or embarrassment on behalf of the ex-employee. Make sure you allow communication that is open, but private – have a safe, secluded area where these more sensitive conversations can happen out of earshot.
In terms of transfer of workload, conducting sessions where knowledge is shared and issues are raised is a good way to ensure a smooth and seamless transition that minimises stress and prevents disruption to the company’s overall process.
Sourcing Professional Help for Handling Employee Exits
If you’re a manager looking to boost your employee exit strategy, we’re here to help. Our team of HR professionals has years of experience in handling employee exits with dignity and care, helping business owners to remain empathetic in their dismissals, uphold the reputation of their company, and avoid any potential legal issues or consequences.
We are there to offer our support every step of the way during this tricky time, advice on employment law, guidance on how best to manage a dismissal, and even step in to personally assist with the dismissal process should you need it.
If you’re looking for professional support with your dismissal process, reach out today to chat with one of our expert team on how we can help you.