When to Terminate a New Hire: A Direct Supervisor's Guide to Addressing Performance Issues

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When to Terminate a New Hire: A Direct Supervisor's Guide to Addressing Performance Issues

It’s been six months since your new hire started and it’s clear that they are not the right fit. After the initial 90 days of onboarding, leadership has found that the new hire’s performance is not getting better, and you, as the direct supervisor, have to find a solution. 

Hiring teams and potential hires nationwide are so overwhelmed and discouraged by the current job market. Ideally, companies and job seekers can determine their professional compatibility during the interview process. However, it could be during the 90 grace period or a full six months into the year before one or both parties realize that something is not working. So, how does a direct supervisor find a solution when the new hire isn’t working out?

Express Concerns

The first step is determining whether or not the situation has escalated to termination. When an employee is not performing as expected, express your concerns. Work performance issues are more costly to the company as a whole. If an employee is underperforming, look for training opportunities and resources. You can easily help identify problem areas and provide opportunities for improvement. It may take extra time, but the reward is worth it. Also, it’s an opportunity to see how employees react to constructive feedback. A teachable employee is one of the most valuable assets a company can have. 

Problems you may face with a new employee may include company policy violations. Most policy issues like attendance or dress code violations can be addressed directly or through department-wide reminder emails. Some companies have performance expectations in their employment manuals. Providing full access to the company’s policies and expectations prevents an employee from using excuses like “I wasn’t aware of that rule” or “No one informed me of that policy.”

Your company policy may require directly addressing performance problems in stages before termination is considered. Other companies have an at-will policy. An at-will employment policy allows the company and the employee to end their relationship with little or no notice and without explanation. This legally protects both parties during the termination process, although most companies still give notice of termination.

Plan Ahead

If you’ve expressed your concerns and the employee’s performance still has not improved, it’s time to consider termination. The first thing to consider after probable cause is checking for any legal limitations that could prevent your company from terminating an employee. Look into what you’re legally required to offer terminated employees, such as severance packages. For example, Virginia-based companies are not required to give employees severance pay unless stated in the employee’s contract.

Once you’re confident in your legal standing, you should make an appointment with the employee, human resources, and other leaders involved, if needed. Inviting a human resources representative not only provides as a neutral third-party, but they can also further explain post-employment information like benefits transfers. Set up a private, face-to-face meeting with the employee, if possible. For remote workers, this would translate into a cameras-on video call. 

When employees find out that they’ve lost their jobs, it can be a difficult, emotional time in their lives. Leaders should have a basic outline of what want to say. Rehearsed, generic speeches are rarely helpful to the employee in these instances. Here’s how you can plan what you’re going to say:

• Be thoughtful, clear, and compassionate.

• Include your reason for termination and examples of unacceptable work performance. 

• Ask the employee if there is inaccurate information or an instance they’d like to contest.

• Discuss exit strategy, including information about when benefits expire, final pay, and the return of company-owned equipment.

After this meeting, employees should be given a set amount of time to clean out their work area. Remember to collect any access cards or keys the employee may have before they leave the building.

With the most difficult phase completed, now leaders must notify the remaining employees. 

Since you know your team best, you can determine the best form of communication in these instances. For small teams or small businesses, we recommend face-to-face, companywide staff meeting. For larger groups or remote workers, a video call is also acceptable for efficiency’s sake. If possible, avoid notification through email or office news boards. When multiple employees are dismissed in a short period of time, you may also need to address any growing concerns over the change in team dynamics.

Termination always increases the tension and stress in the office, which creates the perfect conditions for unnecessary conflicts. Prepare your team to handle conflict in any situation with conflict management workshops with consultants like ONE EIGHTY. Our team is trained to build understanding and create space for clear communication in the workplace. We offer workshop sessions as well as one-on-one consultations to meet the needs of your company.