Employee Termination Checklist For California Employers
Below are six practical tips to help Califronia employers minimize the risks of litigation when terminating employees:
1. Be polite and respectful when informing your employee of his termination. There is no reason to attack or humiliate the worker you are terminating. "I am sorry but we have to let you go effective immediately" is sufficient. If the worker asks why they are being terminated, you can let them know that it's due to their preformance or because things are just not working out, or "we don't think you are a good fit for out team." Going with the truth is usually a good idea. There is no reason to be mean and say things like "you are useless, you are the worst worker we have ever had, you will never amount to anything" or anything this offensive. Moreoever, there is no need to even tell the employee that he is fired. "Terminated" sounds much more respectful and less inflammatory.
2. Consider offering the terminated employee severance in appropriate circumstances. This isn't always a good idea but in many cases offering employee severance in exchange for them signing general release and waiver of all calims can provide you with the peace of mind that you are looking for to make sure that the worker doesn't come back and file some type of claim against you after his termination.
3. Do issue a written notice of termination. This is important to avoid any future disputes about what the termination date was and the last day that worker actually worked for you. Your termination letter can be as short as "Dear X, Please be advised that your employment is terminated effective immediately. Enclosed is your final paycheck."
4. Pay your terminated employee timely. Issue the employee you are terminating his final check including any accured PTO immediately upon termination, as required by California law, to avoid waiting time penalties.
5. Don't challenge that workers unemployment benefits application unless he was terminated for some kind of intentional violation of law or your company policy. Otherwise, if the employee was terminated for simply not being good enough or making mistakes, he is by law still entitled to unemployment benefits. Often, the very action of challenging the unemployment benefits application can anger your former employee and turn them from someone who was ready to move on with their life to looking for revenge, i.e. how to sue you for anything they possibly can.
6. Consider consulting an attorney regarding terminations that appear to be risky. Each termination has its own unique circumstances. It's best to consult an attorney about the potential risks of any termination that would appear to be risky and where, for instance, that employee already threatened with legal action. Just because it appears to you that you have valid reasons for terminating that worker, this doesn't mean that the worker and his attorney can't potentially put together a case where it would appear that the same employee was fired for unlawful reasons. Timing of events alone, such as termination immediately following that employee's request for medical leave, or harassment complaint, can help build a case against you.
1. Be polite and respectful when informing your employee of his termination. There is no reason to attack or humiliate the worker you are terminating. "I am sorry but we have to let you go effective immediately" is sufficient. If the worker asks why they are being terminated, you can let them know that it's due to their preformance or because things are just not working out, or "we don't think you are a good fit for out team." Going with the truth is usually a good idea. There is no reason to be mean and say things like "you are useless, you are the worst worker we have ever had, you will never amount to anything" or anything this offensive. Moreoever, there is no need to even tell the employee that he is fired. "Terminated" sounds much more respectful and less inflammatory.
2. Consider offering the terminated employee severance in appropriate circumstances. This isn't always a good idea but in many cases offering employee severance in exchange for them signing general release and waiver of all calims can provide you with the peace of mind that you are looking for to make sure that the worker doesn't come back and file some type of claim against you after his termination.
3. Do issue a written notice of termination. This is important to avoid any future disputes about what the termination date was and the last day that worker actually worked for you. Your termination letter can be as short as "Dear X, Please be advised that your employment is terminated effective immediately. Enclosed is your final paycheck."
4. Pay your terminated employee timely. Issue the employee you are terminating his final check including any accured PTO immediately upon termination, as required by California law, to avoid waiting time penalties.
5. Don't challenge that workers unemployment benefits application unless he was terminated for some kind of intentional violation of law or your company policy. Otherwise, if the employee was terminated for simply not being good enough or making mistakes, he is by law still entitled to unemployment benefits. Often, the very action of challenging the unemployment benefits application can anger your former employee and turn them from someone who was ready to move on with their life to looking for revenge, i.e. how to sue you for anything they possibly can.
6. Consider consulting an attorney regarding terminations that appear to be risky. Each termination has its own unique circumstances. It's best to consult an attorney about the potential risks of any termination that would appear to be risky and where, for instance, that employee already threatened with legal action. Just because it appears to you that you have valid reasons for terminating that worker, this doesn't mean that the worker and his attorney can't potentially put together a case where it would appear that the same employee was fired for unlawful reasons. Timing of events alone, such as termination immediately following that employee's request for medical leave, or harassment complaint, can help build a case against you.