Do You Always Need a Termination Letter When Firing an Employee?
A termination letter is a written letter that outlines the reasons why an employee is being fired from a given job position and company. While it may not be required by law for you to provide a letter of termination, it is a good idea to provide one so you have the reasons for termination outlined and on file for future reference. It also provides the employee with the reasons, so he knows what can be done to improve his overall work performance for any future employment.
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Law Requirements
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Some states require you to type out a termination letter for your employee if she requires one, as the employee may have some rights regarding getting a copy of a termination letter. If this is the case, you have no choice but to obey these wishes according to law. However, typing out a termination letter could end up protecting you if you are influenced to hire the employee back down the road. The termination letter outlines the reasons for the termination, so it can act as a reminder of why the employee was terminated in the first place. It is also important to keep employee information on file even after termination in case someone calls to complete an employer verification check down the road.
Employer Protection
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A termination letter may also end up protecting you as the employer if the employee decides to file a lawsuit against you. The employee may file a lawsuit for wrongful termination, which means that you may have to prove why the employee was terminated. The letter of termination along with any warnings or performance reviews the employee file may contain are used to make a case for you as an employer. The more truthful and factual information you have on hand, the better prepared you are for vengeful employees.
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Features of Termination Letter
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The termination letter will inform the employee of the final date of work, the reasons for termination and provide a list of warnings or attempts made by the employer to improve the employee's work or skills. The letter will compare the employee's performance to the goals and mission statement of the business, so the employee can understand why the termination is happening. Any information regarding benefits and pay will also be outlined in the letter.
Uses of Termination Letter
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While the employer uses the termination letter to keep information about the employee in one place for future reference, the employee may use the information to identify areas that need improvement. If the termination letter discussed the tardiness of the employee and the lack of engagements in teamwork settings, the employee can use this information to improve her skills for future positions. This is why a termination letter is often provided to an employee upon termination or requested by the employee.
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