The Effects and Costs of Casual Employee Termination
When it comes to talking about casual employee termination, the scene that comes to mind is a room full of people cheering as an executive screams, “You are fired.” This scene looks good on television; however, in reality, there is no fun and entertainment about the termination process.
In real life, the effects of termination can be felt by almost all those who are involved with a business. Of course, the person who has been fired from a company will be affected and bear the consequences as well as his family.
When a person is fired from his job, he not only bears the consequences but his family as well. Plus, his coworkers and colleagues also get impacted as well as there is a massive decrease that will be seen in morale, safety, and productivity. Termination is one of the most unpleasant and cold decisions a manager, human resources professionals, or supervisors make. It may end up having bitterness and anger on both sides of the table.
The cost of termination:
Termination not only affects the people of the company, but it also affects the bottom line as well. The employee termination procedure is somehow expensive because when an employee is fired, it can cost between 50 to 60 per cent of that employee’s annual salary to refill that vacant position.
The recruiting company has to face the cost of advertising, recruiting, training, and hiring a new employee, and until the new employee is hired, the rest of the team has to work overtime in order to meet the deadline and complete the tasks. It results in paying extra salaries to the employees. And in the worst cases, the employee who is fired feels that the termination decision was wrongful is allowed to sue. It will end up paying legal fees.
The decision to terminate:
If a supervisor and manager want to reduce the negative effects of termination on both personnel and profit basis, then they need to consider termination as a last option. And if an employee is going to be fired because of his performance, then the manager and supervisor have to answer essential questions.
And if the answer to all questions points towards the need for casual employee termination, then the supervisor and manager work with professional human resources and make sure that the termination procedure deals properly and in a legal manner.
