Eight tumultuous months into his administration, Donald Trump
seems to be shaking up his White House staff again with the ousting of his
Chief of Staff Reince Priebus and the removal of his Director of Communications
Anthony Scaramucci just 10 days after his appointment in a move that has only
increased the sense of chaos at the heart of the Trump presidency.
The White House may insist there is no turmoil however it is
hard to see anything getting done with the constant shake-ups and
rivalries. From a Human Resources perspective, a high staff turnover and
a culture of hiring and firing on a frequent basis can be disruptive to staff
and can reduce morale. So what advice on firing would Employment Law and HR
specialists Peninsula give to business owners with a penchant for frequent
firings and to the man who is synonymous with the phrase “You’re Fired?”
1.
Be certain - The heat of the moment can cause business leaders
especially hot headed ones like Trump to make snap decisions that are neither
correct nor rational. Even if the business does have a zero-tolerance policy
for certain behaviours, they should check to see if employee's actions fall
into the parameters of the policy. When a business leader is mad it is easy to
unintentionally forget about guidelines and laws and while the employee can
come back after a mistake, no one will ever forget what happened and it could
lead to an employment tribunal. Since fees have been abolished, there is no
deterrent against employees chancing their luck in front of a tribunal.
Employers may now find a spur of the moment decision could lead to them facing
an unfair dismissal claim, for which the compensation can be over £95,000.
2.
Follow a fair procedure – The business may want to remove the
employee straight away but the law lays down a clear procedure that must be
followed. The ACAS Code of Practice on Disciplinary and Grievance Procedures
sets out the minimum process. A tribunal will consider whether the business has
followed the Code or not. A failure to apply the Code can lead to a 25%
increase in any compensation award. It is important to remember to follow
any further dismissal process requirements included in the company handbook and
disciplinary policy.
3.
Give the right notice - The only dismissal that does not require
notice is one for gross misconduct as this immediately ends the contract of
employment. The notice given to an employee when they are dismissed is usually
laid out in their contract. But in some circumstances, the statutory notice may
override this. Statutory notice starts after one month’s service and increases
at a rate of one week for each year of service up to a maximum of twelve weeks.
If this is greater than the contractual notice, then statutory notice must be
given. Giving the employee the correct notice is a must—failure to do so can
result in a claim for wrongful dismissal.
4.
Keep a paper trail - It’s essential to keep written records of
all matters that have been discussed with the employee including all letters
and minutes of all meetings (signed and dated by everyone present). This is
evidence to prove that a full and proper procedure has been followed and a fair
decision-making process took place in case a dismissed employee takes the
employer to a tribunal.
Peninsula HR Director Alan Price adds: “Even when employers
conduct a full and thorough recruitment exercise, they may find themselves with
an employee who’s underperforming and failing to meet the key requirements of
their role. The earlier the lack of capability is addressed, the easier this
situation is to manage for employers. If the employee’s performance still doesn’t
improve, the employer should examine whether there are any other roles suitable
for the employee in the business before considering a dismissal. Only if a fair
procedure has been followed will a dismissal for capability be fair. Dismissing
an employee is a usually a necessary but often unpleasant and difficult part of
running a business however the Trump administration is increasingly feeling
like a reality TV show, in which someone gets voted out every single week.”
Ends
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With over 30 years’ experience, Peninsula has
built the largest team of HR, Employment Law and Health Safety experts, who are
trusted advisers to over 30,000 businesses across the UK and Ireland, providing
advice and support to its members 24 hours a day, 365 days a year. Because we
understand that every business is different, Peninsula has utilised its team of
experts to create the industry’s broadest range of solutions, all carefully
tailored to help businesses of all shapes and sizes. These services streamline,
simplify and strengthen our member’s businesses, maximising their chance to
succeed.
- For further clarification,
please contact Jane Pearson on 0161 827 8511 or Jane.Pearson@peninsula.uk.com