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The How of Business - How to start, run, grow and exit a small business.

272: Firing an Employee

The How of Business - How to start, run, grow and exit a small business.

Henry Lopez, Levante Business Group

Entrepreneurship, Business

4.7522 Ratings

🗓️ 9 September 2019

⏱️ 23 minutes

🧾️ Download transcript

Summary

How to fire an employee in your small business the right way with Henry Lopez. Henry shares a recommended process and approach for firing or terminating a poor performing employee. The process should include a verbal documented warning, one or more written warnings with specific guidance, a possible suspension without pay, and then a firing the employee. Keeping a bad employee too long usually has a detrimental impact on our small business culture. Be sure to get the advice of an employment attorney before applying any of these practices. Henry also offers a free down of a sample Corrective Counseling Form you can use. 

Henry Lopez is a serial entrepreneur, small business coach, and the host of this episode of The How of Business show – dedicated to helping you start, run and grow your small business. (TheHowOfBusiness.com)

Transcript

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0:00.0

Welcome to the how of business with Henry Lopez and David Begin, the podcast that helps you start, run, and grow your small business.

0:13.0

And now here are your hosts.

0:16.4

This is Henry Lopez, and welcome to this episode of the how of business.

0:20.5

This will be a short

0:21.2

topic episode and it's on the topic of firing an employee. It's a topic that we have not

0:27.4

discussed specifically on this show yet and I thought it was overdue to discuss this. Just

0:33.0

about everybody, every business owner I talk to, whether it's someone I know or one of my business

0:38.7

coaching clients or even ourselves and owning our businesses, firing an employee is never an

0:44.8

easy thing or usually not an easy thing. And what I find and observe is that we all tend to

0:51.4

sometimes get hung up with the emotional side of it, the wanting not to have to do that.

0:58.7

We get hung up with wanting to save that person maybe or give them another chance.

1:04.8

And all the time, what it's really doing is it's hurting our business.

1:08.9

If nothing else, it's probably greatly impacting in a very

1:13.2

negative way, the culture of your business. So how do we go about it? I'm going to share with you how

1:19.3

I go about it and how my partner, David Beginn and I go about it in the different businesses that I

1:25.4

own and that I've owned in the past.

1:32.2

And I don't have a perfect formula for it, but these are things that I've worked well for me and that I've learned from others. I will say right off the top that you should always have consulted

1:39.3

with an attorney, an employment attorney specifically in your state.

1:44.4

Every state has slightly different rules and laws.

1:48.5

And then of course there are federal rules and laws.

1:51.2

And so you want to make sure that whatever process you follow and that you develop and follow for your business,

1:57.4

that it's in line legally so that you don't create a bigger problem by terminating

...

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