Shedding problem workers boosts company profits

It’s possible that the employees in question were kept as the result of a desire to avoid conflict, guilt or a false illusion that their expertise is worth the price.

However, the reality is that bad attitudes have resulted in numerous consequences in terms of customer satisfaction and complaints from existing clients.

Deep in your heart, you realize you have not acquired some new accounts due to inappropriate behavior. These employees have infected everyone and decreased quality and productivity overall – and possibly caused good hires to quit. The entire situation has affected your physical and mental health and taken up valuable time.

The stresses involved in being a small-business owner are enormous. So why are you actually paying someone your hard-earned money to cause you even more anxiety? Once you have terminated any problem employees, you will immediately feel the weight off your shoulders and reap the benefits of increased sales, productivity, customer satisfaction and staff morale, not to mention peace of mind.

To assist you in taking immediate steps to end unhealthy relationships, a law has been put in place so you will be assured no loss of trade secrets, no employment-related litigation and a guarantee that only positive communication will be transmitted from the affected associates to potential future clients.

The Older Workers Benefit Protection Act of 1990, an amendment to the Age Discrimination in Employment Act, contains the appropriate procedures. Although the OWBPA pertains only to age discrimination, the same rules protect organizations from all types of employment-related lawsuits.

The OWBPA creates minimum requirements for the preparation and usage of a release form. The form is legally binding on the worker and will forbid the filing of a claim or lawsuit.

A major key to ensuring that the release is legal is that employees may only release rights or claims in exchange for “something of value to which he is not already entitled.” For example, if he is entitled to severance pay or accrued sick and vacation pay, the company will need to provide a different object of value. A small business will often use outplacement services as that item of value.

Outplacement services make the transition easier for both you and your workers. Although you will be taking away the affected employee’s job at your small business, you will be providing him with professional help to more quickly and easily find his next job. Research shows that usage of outplacement successfully reduces the time-to-employment by 25 percent. Services should consist of career planning, résumé preparation, interview and job lead training and career consulting. Prior to your termination meeting, the firm will help you determine what to say and assist you with the paperwork needed to complete the separation.

Life is short. It is time to clean out problem employees. Gain your freedom, protect your organization and minimize your guilt by taking advantage of the OWBPA and outplacement services.

Lynne Haggerman is president/owner of Haggerman & Associates, a firm specializing in management training, retained search, outplacement and human resource consulting.

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