Staff One and our Client Companies are at-will employers in all states where applicable. This means that, in the absence of a union contract or other employment contract limiting an employer’s right to discharge or stating a specific term or duration of employment, the employer is free to hire and fire at any time for any reason – or for no reason at all. However, court decisions and new statutes in recent years have created a more complex employment situation.

Federal and state laws may limit what can be considered in making an employment decision. You cannot base an employment decision on race, sex, religion, national origin, disability, veterans’ status, filing a workers’ compensation claim, use of benefit plans, serving on a jury, etc.

Courts have also expanded potential liability for employers who discharge employees in violation of “Public Policy” reasons.  For example, if an employee accuses his employer of firing him for refusing to carry out some unlawful request or claims he was fired for reporting allegedly unlawful acts on the part of his employer, that person could be considered as a “whistleblower” and can bring a wrongful discharge lawsuit.

While employment lawsuits arise out of all sorts of circumstances, the event which causes most legal actions is a discharge or termination of employment. Therefore, we must be increasingly sensitive to what can and cannot be done in connection with a termination. The manner in which a termination is handled is critical.

Successful supervisors avoid having to discipline employees by treating them in a fair and reasonable way. Once employees understand what is expected of them, they will usually do their jobs effectively. Do not be afraid to ask for the kind of action you expect from individuals. How else will they know?

Progressive Discipline System

If discipline becomes necessary, Staff One advocates a progressive discipline system to deal with problem employees and minimize the possibility of wrongful discharge and discrimination claims.  The system basically imposes goals, timetables, and progressively greater disciplinary measures upon an employee whose performance continues to be unacceptable. The system also recognizes that certain infractions or misconduct will be sufficient for immediate discharge. It is absolutely mandatory that this system be used uniformly with all employees.

 Below are the steps to an effective progressive discipline system.

Step 1: Verbal Warning

A verbal warning is usually adequate for a first offense. Be sure to discuss the problem in private with the employee, explaining what was done wrong and what will happen if another violation occurs. Be sure to document the warning in writing, and send a record of the conversation to Staff One to be placed in the employee’s personnel file.

Step 2: Written Warning

If after receiving a verbal warning the offense is repeated, a written warning should be used.

Review the facts of the case with the employee and in the presence of another supervisor at your level or above. Tell the employee what action will be considered if another violation occurs. A limit should be set on the number of written warnings allowed before other action is taken. Make a record of the meeting, stating the facts that were reviewed with the employee and the action taken (use Staff One’s Employee Written Warning Notice). Have the employee sign the notice, after allowing him or her to enter comments. If the employee refuses to sign, have the supervisor sign the notice attesting to the employee’s refusal. Send the warning to Staff One to be placed in the employee’s personnel file.

Step 3: Suspension

A suspension without pay may be considered for employees as deemed necessary. Contact your Staff One Client Service Executive or Staff One’s Corporate HR Department for guidance.

Step 4: Discharge

Terminating an employee can present a difficult and sometimes hazardous situation. A recent nationwide survey showed that half of all companies that fired anyone had a suit or legal charge brought against them. You can help minimize this risk by considering the effects of any termination. It is always unpleasant to terminate an employee, but try to carry out the termination in a rational manner, not out of anger and never on the spur of the moment.

Call Staff One Client Services Department or your Client Service Executive before proceeding with any termination action. Together, we will discuss your plan and the reason(s) for the termination.

Many times, you may overlook the “protected activities” an employee might say are the real reasons for the termination. For instance, has the employee recently filed a workers’ compensation claim (a “protected activity”)?

Termination Meetings

This is a crucial step in the process. Terminating an employee is never easy, and the very fact that it is such an uncomfortable situation may cause you to be nervous or make a mistake. So, before you terminate an employee, contact your Staff One Client Service Executive or Staff One’s Corporate HR Department for guidance.