Running a company is exciting and makes you overcome challenges every day. From product sales, keeping up with the law, keeping an eye on what the competition is doing, and many other issues. But, something that is unpleasant and that many entrepreneurs would prefer to avoid is employee layoffs.

There is no doubt that there are times when you love your team. Yet there comes a time when it's best to say goodbye, and that's where the problems come in. Few employers know how to fire an employee or collaborator in the right way.

Do you want to know how to do it? Let's see below how you can fire that professional who is no longer making the grade without hurting inside. 

How do you know when to fire an employee?

When you analyze the performance of your business, there are many indicators that you keep in mind: metrics, sales ratio, profitability, investments, profits and more. 

But, it hardly ever crosses your mind that the weakness is inside the company, right? Most of the time that's where the problem lies.

There are employees who from one day to the next stop performing as they used to, either because of a personal problem or because they are not comfortable in the company. This means that you have to keep an eye on the numbers related to the company's productivity.

So when is the perfect time to stop collaborating with that professional? When the quality of their work has dropped and you have already told them about this situation. 

It is also important that you try to remain calm and patient, perhaps that person has some personal indisposition that affects other areas of his life, such as his work, for example. 

4 Tips for Firing an Employee

Yes, we know how difficult it can be to fire an employee. That's why we'll give you some tips that experience has given us so that you can do it in a kind and remorseless way:

1. Seek support from Human Resources

The Human Resources department is in charge of ensuring the harmony of the organization, as well as the recruitment and dismissal of new employees. So the first thing you should do is meet with them to collect the relevant documents.

Remember that you are a formal company, so any unjustified dismissal will have legal consequences. They will give you the performance evaluation and detailed reports explaining why you reached that decision.

Remember that firing will always be the last alternative, but there's a point when it's unavoidable.

2. Think about the organization

Still have a lot of doubts about whether dismissal is the best option for your company? Consider the following:

Imagine that business sales are down and that person is partly responsible for it. So to solve the issue the other members have had to work twice as hard to suppress the failures that that could cause. 

It all becomes a domino effect that affects the company more and more. In this case, firing that professional will not only be a relief for you but for your entire team.

3. Kindness first and foremost

Layoff meetings are characterized by being uncomfortable in most cases. The truth is that it shouldn't always be like that and to avoid it the best advice we can give you is to bet on assertive communication: in it you will find the kindest and healthiest way to convey your message directly. 

Many CEOs agree that the most important thing is to talk right away about the reason that led you to make this decision. Never be annoyed, but rather give them the opportunity to express themselves and then wish them the best in what is to come.

There is nothing better than having good relationships with everyone who passes through your hands... You never know who might be your new competitor, partner or supplier. 

4. Be empathetic

It's amazing how much you can accomplish by being empathetic. It's true that if a member of your team is no longer fulfilling their responsibilities, that's reason enough to terminate them from their job, but that doesn't mean you should overstep personal boundaries.

How many cases have you seen of workers who drop their performance because of a situation outside the job? Maybe he or she is going through a difficult emotional process, dealing with depression or anxiety, not finding enough motivation in his or her work team... The possibilities are as infinite as the universe!

Try to be kind and thank them for everything they contributed to the project. You never know, maybe you'll meet again in the future.

Legal aspects to consider when dismissing an employee

Firing an employee is not something that happens from one day to the next, so impulsiveness cannot win in these cases. 

If you want to end the contractual relationship that exists between both parties you must bring together several elements. Do you want to know what they are? Take note of them:

1. The justification of the dismissal

This is one of the most important things when it comes to dismissing someone. The dismissal must be 100% justified, either by performance, poor results, breach of contract or a new orientation in the company's activities.

If you do not justify the dismissal you will suffer legal consequences since there is no reason to support your actions. So you must be careful and capture everything you have seen in the last few weeks.

2. The dismissal process

Dismissing an employee requires a series of processes that you must coordinate with Human Resources so that they can prepare the professional's report, analyze how much you will pay in severance pay and gather the other documents required by law.

3. Notification of dismissal

Last but not least is the notice of dismissal. You must do it in writing and give it in person to meet at a specific time.

You have to leave a record that this notification was made, because otherwise you will have legal consequences. The sheet explains precisely all the reasons why this decision was reached together with the legal aspects that were taken into account.

Now you see all the elements that you must evaluate before deciding to dismiss an employee. Is it a long process? Yes, but since there is no other solution, it is better to take the first step as soon as possible.

All employers go through it and you will be no exception. We hope that with these changes you can make the leap you want so that your company can compete in a great way in the digital market.

Do you feel we missed an important point in the process? We want to know what you think about it, as always, we'll read you in the comments.