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"Firing Right": the right way to right size

By Michael Stern 10th October 2007


Since 1982 we've seen the rise and fall of Commodore Computers, the "trickle-down theory," VHS tapes, New Coke and the Spice Girls.

But one product of the eighties has never gone away: tactical turnover. It's the firing of individuals by companies concerned with reducing costs and improving productivity, in good times as well as bad.

Even in today's tight job market, when talent is hard to find, companies continue to surgically remove employees who are perceived to be not pulling their weight. With increasing international competition, the high dollar, and U.S. economic weakness spilling across the border into American-owned companies, it's become a common management tool. So common, in fact, that some companies are taking the process for granted - and messing it up.

I've seen people who've been fired by voice mail. Managers who get drawn into heated and pointless arguments with terminated employees instead of communicating the message briefly and cleanly. And employees who were fired so casually that they didn't realize they had been terminated.

Result: companies sow fear, confusion and ill will at the time when they most need to project an image of confidence and direction to the rest of their workforce.

Of course, few dismissals are upbeat affairs. But when termination is done right, employees retain their self-respect. They receive the support they need to plunge back into the workforce and view the future optimistically - and their remaining colleagues don't get whiplash from watching their backs.

To help executives who have forgotten the right way to right-size, here are 10 points to keep in mind when planning a tactical termination.

1. Prepare as you would for any serious, life-changing meeting. Not only do you owe it to the employee to be prepared and professional, but the eyes of your own organization will be on you - especially if you mess up. If necessary, get a coach to help you learn the ropes.



2. Plan in advance what you are going to say. Keep your message short and simple. Avoid blame or fault-finding. The last thing you want is to get into a drawn-out discussion with employees who think they can still save their job if they remind you how much they've done for the organization.


The best way to phrase your remarks may be the simplest. "Sorry, but we've concluded that this isn't working out. We have to let you go."


3. Remember that even the most rational human beings can become emotionally distraught when they realize they are being fired. Once you've made it clear they are being let go, they are unlikely to hear or remember anything else you say after that.



4. Don't go on and on about the great job the person has done for you. If the employee is still listening, that sort of talk makes employment lawyers rub their hands with glee.



5. Don't prolong the conversation. It may sound cold, but five minutes should do it. Have an HR staffer or outplacement consultant standing by to take over from you and help the employee begin the process of adjusting to their new reality.



6. Don't hold the discussion in your office. Some newly fired people will want to keep you talking. You'll be glad you held the meeting in a boardroom or other neutral site where you can get up and leave when you need to.



7. Offer a fair severance package. You don't want ex-employees obsessing over how to get more money out of your company. You want them (and you) looking forward and moving on.



8. Don't rush into things. Once they've made their decision, many companies terminate too fast - and that's when they make mistakes. Make sure you have security standing by, just in case. Have boxes on hand to help employees clear out their desks. Plan what you are going to say to other employees regarding the sudden termination - and make sure everyone in management is telling the same story.



9. Leave employees their dignity. Don't frog-march them out of the office, or post a guard to watch them clear out their desks (unless you believe it is absolutely essential). Help them preserve their self-respect among their peers and colleagues.



10. Never get too comfortable with firing people. If you reach the point where you can handle an upcoming termination dispassionately, find another line of work. The process is supposed to be uncomfortable.

While being fired can be a traumatic experience, most dismissed employees later agree that things turned out for the best. Many actually admit that in your position, they'd have pulled the trigger, too. And all remember how the termination was handled. Make it your objective to ensure that when fired employees look back on the process, they all agree you did what you felt you had to do in the best way possible.