Managing Dismissal, Retirement and Redundancies

Sometimes companies face difficulties and are forced to resort to lay-offs of employees. Firing usually occurs in the form of dismissal, redundancy, or when an employee retires. Therefore, it is often necessary to develop an ethical and legal practice of dismissal to ensure this painful process goes smoothly, and the employees do not have legal claims against the company. This practice can consist of several steps: the first step is to notify the employee of the meeting, where the manager will discuss the possibility of termination at least 48 hours in advance. During a conversation, it may be wise to document it to avoid misunderstandings in case the employee decides to go to a court. Besides, the objective reasons for the dismissal must be clearly explained to the employee.

Next, the manager needs to give the employee at least five days to appeal the dismissal, since the termination should not occur directly during the meeting. This appeal option usually relieves stress and reduces the likelihood that an employee will file an unfair dismissal complaint. Finally, after five days, the manager has to decide on dismissal or termination of the contract, and in a friendly atmosphere, inform the employee about this. If the termination occurs for reasons not related to the employee’s behaviour or work capability, it is advisable to offer him a reference for future employment. The company also has to provide reimbursement payments to the employee associated with dismissal following the law.