Great talents are assets, bad ones are liabilities. Ask any company. They don’t want the latter. If you think you and the employee are a mismatch and the latter has many work and personal issues, it is definitely time to say good-bye. You have to terminate the person.

However, you need to be very cautious. Unlike romantic relationships, professional ones are usually bound by laws and contracts that you have to honor. Otherwise, you may find yourself in the middle of a lawsuit or even public scrutiny (just check out the case of Debrahlee Lorenzana).

To make sure neither of them happens, take note of these tips:

1. Verify the state laws.
There are policies and regulations that are created by the state and have to be followed by any kind of industry. One of these is that you cannot terminate any employee without a just cause. This means that you have to come up with enough evidence to justify the action. Else, they can sue you for back wages and even reinstatement.

Since the laws can be pretty complex, a lawyer can come in handy. You do not have to hire him or her unless you find yourself in a lawsuit. What you can do is to ask for a consultation.

2. Confirm the rules on the rulebook.
Termination is one of the many reasons why companies, no matter how small, should have a rulebook. This ensures that everyone knows the infractions and their possible consequences. Usually, employees are given warnings to mend their ways before they are finally terminated. First warning can be verbal; second warning can be written.

3. Document.
Again, you need to have a just cause. You can never have one unless you investigate and document. If the reason for termination is absenteeism, you have to keep a record of his or her attendance and a projection statement showing how his or her absence affected the sales and productivity of the business. You can also ask for witnesses to corroborate your cause.

4. Listen.
Employees should be treated fairly even if they are considered black sheep on the team. Before you fire someone, make sure that you have allowed the person to present his or her own defense. It will also keep you away from potential lawsuit.

5. Talk it over.
There is no easy way to say it, but you actually have to. Ensure that he or she understands the reasons for the termination, the effective date of termination, and the benefits and wages he or she can get after termination (if there is any). You also have to talk about the possibility of a rehire, though most companies do not do this practice. It is best to leave the conversation between you and the employee, as well as to his or her direct supervisor. Limit the news to a few people only as it can still be very hurtful for the terminated employee even if it is his or her fault.

6. Conduct an exit interview.
Exit interviews can provide you with plenty of information, including how to improve the productivity, skill, and motivation of the employees. Sometimes employee headaches are caused by lack of support from the company itself.

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