We all know the business maxim "hire slow, fire fast." When a team member breakup occurs in your orthodontic office, terminate quickly to minimize the pain of departure. No matter the circumstances, make it a goal to end the employment relationship as graciously as you started it. Ease departing team members to new career horizons. With forethought, breaking up needn't be hard to do.
Voluntary leave
The resignation of a team member may come as a surprise to orthodontists, but although career doctors stay forever, it's not uncommon for team members to leave a place of employment. Employees may be pursuing new careers, less-demanding jobs, higher education, more pay or benefits, family moves, or more time at home to care for children, a spouse or aging parents. (Team members may also get burned out, need a work break or just want to retire.)
In every voluntary leave situation, ask employees to write their resignations on a piece of paper and date it. If a valued team member gives two weeks' written notice, you may request that she stays on to help select and train her replacement. You could need a month to select and train the new hire, and a valued departing team member can help you in this process.
If a departing team member is not a positive contributor to the patients, team or office, you may want to dismiss her once they give the written "I quit" notice. If you dismiss her on the spot, her final paycheck and separate vacation paycheck can be written and given at that time. Otherwise, you may have from 48 hours until the next pay period to deliver final payment, depending on city and state employment laws.
Why people leave
A study by BambooHR found that 31 percent of new hires quit their job within the first six months. The top five reasons workers gave for leaving their new jobs were:
- They changed their mind.
- The work was different than expected.
- The boss was a "jerk" or tyrant.
- They didn't receive training.
- The job wasn't fun.
Involuntary leave
Occasionally you may need to terminate someone whose leave won't be voluntary. This includes employees who are laid off or fired.
Layoffs: Be judicious about layoffs—analyze, document and prepare. Take time to complete annual reviews and let employees know the reasons leading to their layoff weeks or even months before the event. Rank all employees on a scale of 1–10 in several areas, and if layoffs are necessary, target the lowest-scoring performers. Keep a record of why each particular team member was laid off, in case this information needs to be presented or reviewed in the future.
After any layoff, take time to talk with the remaining team members. This is an important team-building moment. Be sure to rally your remaining troops.
Firing: This can be the most difficult decision that an employer or HR manager will ever face. Own this decision! You made a mistake in hiring, and now you're responsible for making the departure as gentle as possible.
Handle firing with extreme care. Termination is a serious action, the culmination of a series of progressive disciplinary actions. Before you take action, be sure to have documentation of performance evaluations, coaching sessions, warnings and failed opportunities to improve.
Legal causes for termination include:
- Violation of code of conduct.
- Failure to follow policy.
- Insubordination.
- Harassment.
- Violence or threat of violence.
While HR managers want to be kind, an employee's frequent absenteeism, disruptive bad behavior or innate lack of ability to perform a job can't be changed. If you don't fire fast, the frustration of both parties could go on indefinitely. Leadership must maintain an excellent office work environment for the patients, office and team. The doctor and team who tolerate a difficult or disappointing team member suffer at their own peril.
Wrongful termination
For dismissal to be "wrongful," it must violate a specific law, statute, regulation or constitutional provision.
Illegal causes for termination include:
- Discrimination.
- Complaints about what is legal, such as overtime pay.
- Whistle-blowing of illegal activity of the employer.
- Refusal to do something that is illegal.
- Lawful duty time off, such as serving jury duty.
- Retaliation for asserting rights.
Termination exit checklist
Be prepared for employee exit. Your documents should include:
- A hard-copy final paycheck.
- A separate, hard-copy vacation paycheck.
- A signed final paycheck acknowledgment form.
- The employee's termination or resignation letter, signed and dated.
- Type of termination documented.
- A checklist to follow when the employee returns company property.
- Rollover information for the employee's 401(k) account.
- An acknowledgment for the employee to sign that she has received the appropriate termination documents.
- An exit interview questionnaire.
Exit Interview
An exit interview gives the practice valuable insight into what could be improved in future HR management. Ask the departing team member for work environment feedback. This is an excellent opportunity to thank the departing team member, learn new things and end on good terms.
Give a departing employee time to think about the exit interview questions. Answers may be personally delivered during the exit interview or mailed back to the office.
Exit interview questions could include:
- Why have you decided to leave?
- What did you like or not like about our office?
- What are your views about the culture, management and leadership at our office?
- How could we improve?
- Was there an employment problem you would like us to know about?
If there is a toxic team member who is causing team members to leave, you need to know. If working conditions could be improved for the better, do it. These answers will help improve HR management and leadership.
Stay positive
It has been reported that 50 percent of OSHA claims are instigated by employees who are retaliating for their dismissal. At exit interviews, let departing team members talk to clear the air and end on a positive note. Avoid blame and remember to treat people with respect. Thank departing employees for their work, and be grateful for the good times you had together.
Unemployment benefits
State-run unemployment insurance is a program that pays approximately 60 percent of a person's pay for usually 26 weeks (six months). This program can be expensive for the former employer. The office's rate is determined by how many claims were made by former employees in the past year.
Unemployment benefits cannot be collected by an employee who quits voluntarily. Your documentation of resignation is critical so your office isn't obligated to pay unemployment. If an unemployment claim is filed, you may submit evidence of voluntary separation to the unemployment office so those benefits are not issued.
Conclusion
Hiring slow and making smart,
well-informed decisions will help keep turnover low. Minimizing turnover eliminates additional training and reduces unemployment costs. We can be great leaders, business owners and HR managers if we train and coach employees and create a fun work environment. "Firing fast" helps minimize the uncomfortable consequences of poor hiring decisions. "Hiring slow," meanwhile, makes breaking up something we'll need to do as infrequently as possible.
For more information on termination, visit dol.gov/dol/topic/wages/lastpaycheck.htm
Dr. Gorczyca shares even more
management advice in our podcast
Dr. Ann Marie Gorczyca discusses termination, teamwork, leadership, running a positive workplace and more in her Dentristry Uncensored with Howard Farran podcast. To watch, stream or read the transcript of the podcast, visit dentaltown.com/amg-qa.