Employee termination should only be considered after all other efforts to bring the employee back to acceptable performance have been exhausted. Once the decision is made to terminate, however, it is critical for both the company and the employee that it be handled effectively. Following the company’s Termination of Employment policy you should check the applicable State labor laws to ensure you are in legal compliance. If unsure, we advise you to consult an employment lawyer. State Labor Offices and State Labor Laws 1) If you are going to provide a severance package, get a signed Legal Release Document from the terminated employee, which essentially states that the employee relinquishes their rights to take legal action against the employer for wrongful dismissal. 2) Prepare the Termination Letter. 3) Conduct the termination meeting as per the instructions in the policy. 4) Communicate to the employees remaining to discourage any unnecessary gossip and unproductive or speculative statements about the employment termination. 5) If possible, complete an exit interview with employees who have resigned voluntarily. It’s amazing what can be learned from someone who can speak candidly without fear of reprisal.