How to Handle an Employee Exiting The Company

When an employee unexpectedly leaves his or her position, whether because of a company decision or on his or her own accord, it can put the company in an extremely difficult position.

In today’s post, we’re discussing ways to gracefully handle an employee leaving the company. We’ll explore the proper legal etiquette, benefits, and procedures for exiting employees.

Read on to find out How to Handle an Employee Exiting the Company.

Exit Interviews are Key for Growth

When an employee leaves a company, the exit interview is an important opportunity for the company to learn more about the reason for the departure. Human Resource departments can use the information given during exit interviews to learn key insights about the inner workings of a company. Oftentimes employees feel more open and candid about expressing viewpoints when they know their job isn’t on the line. 

A recent article by LinkedIn expressed the importance of exit interviews, saying, “Exit interviews accelerate participating managers’ understanding and experience of managing people and organizations. Hearing and handling feedback is a powerful development process.”

A few key areas to consider discussing during an exit interview:

  • Salary and expectations: Was the employee’s salary commensurate with experience? Did it match up to competitors? What other benefits might have swayed the employee to stay?
  • Job Function: Did the employee find fulfillment in his or her position? Was the employee challenged enough? Why or why not?
  • Grievances: Give some time for the employee to air some grievances. We all have a few gripes with the company we work for. Allowing time for employees to share a few concerns will give you the chance to fix these concerns in the future.

Professional and Ethical Procedures for Terminating an Employee

Terminating employees is one of the hardest tasks managers and small business owners must do. However unpleasant, letting an employee go is sometimes a necessary task to ensure business operations remain effective. Before terminating an employee there are certain procedures that should be strictly followed to avoid legal ramifications.

The list of items below can serve as a guide to help you consider steps to take to begin the termination process:

  • Follow the company handbook, rules and regulations. It’s important to strictly adhere to company protocol. If your company requires a certain number of warnings before a termination or if certain behavior is automatically grounds for termination, the guidelines should be clearly stated in the company handbook. You must follow the protocols outlined in the guidebook.
  • Be sure to keep records of employee performance reviews, misconduct or warnings. It’s important to have the proper documents in order before an employee can be let go.
  • Follow all legal regulations. For good reason, many laws protect employees from unjust treatment and firings at the workplace. Be sure the termination is only based on employee performance. If the company is downsizing and a position is being dissolved then laying off an employee would be the appropriate response.

When Top Employees Quit, Work to Build Team Morale

We’ve all heard the phrase, ‘it’s not personal, it’s business!’ When your top employees leave, and it is always a possibility that they may leave, you need to remember that business is business; no matter how close you’ve become with your employees and how much loyalty and dedication they show. In the end, your employees have a responsibility first to themselves and their families, secondly to work. If a better opportunity comes along, they will be hard pressed not to take it.

As a manager or a small business owner, you want to hire the absolute best and most ambitious people to fill your positions. Often times those employees are also self-motivated and work just as hard as they do at work as they do on improving themselves and their life situation.

The next time a key employee leaves instead of focusing on the disruption caused by the absence, take it as a sign to improve your relations with employees. Start working to build a team that loves their jobs. To do that take a note from Google, often ranked as the best company to work for in the world. The company offers incredible perks to employees like free lunches, paid maternity and paternity leave, and a fun working atmosphere. Underneath all the fluff, Google listensresponds, and encourages its employees in their jobs.

For more help and information on running your business, contact your financial representation at TrueNorth Retirement Services.