Helping Failing Employees is Good Business

After months of training, coaching, and trying to help an employee improve their performance, they are still failing to meet expectations. After such a time-consuming and frustrating process, it is often a relief for an employer to end the employment relationship with a failing employee. When the decision is made to terminate employment, federal law requires employers do very little beyond providing the final paycheck and COBRA notice. State laws vary, but typically require little more.

So why should an employer consider spending additional funds to help employees who are terminated? To protect employer reputation and brand.

Disgruntled employees can use social networking sites and sites like Glassdoor to express their dissatisfaction and amplify their feelings of being “wronged” or treated “unprofessionally”. However unfounded or one-sided this may be, such comments can negatively impact an employer’s online reputation. A recent Robert Half survey reveals that almost a third of job seekers accept job offers then decline them; one of the leading reasons cited is something troubling about the employer’s reputation the applicant discovers online.

To protect online reputation and brand, a RiseSmart survey indicates employers are increasingly takings action to “project an employee-first culture” when they separate employees, including:

  • 44% offer severance benefits
  • 63% offer outplacement to non-exempt employees
  • Increasingly offering outplacement assistance to employees terminated for poor performance

Offering assistance to a terminated employee can be a wise investment, and Employers Council can help with:

  • Career Transition Services, including outplacement assistance for terminated employees, at a reasonable fee (only charged if the employee actually uses the service)
  • Legal guidance and assistance with drafting separation agreements
  • Best practice guidance for severance package benefits

For assistance with effectively managing employee terminations, legal assistance, and strategies to protect employer brand and reputation, contact Employers Council.