Thursday, October 25, 2012

Must we explain our reason for firing? ? Business Management ...

Q. We recently terminated an employee. He claims he is legally entitled to a letter outlining the reasons for his discharge. Is he correct?

A. Probably not, absent any contractual requirement. But, there may be circumstances where you want to do so, such as if the employee has a contract that provides severance unless termination is for cause and you believe that you have cause.

Also, it may be helpful to document the reasons for termination in the event that the employee subsequently decides to sue. You then have a document prepared at the time of termination that memorializes your reasons and establishes that they were communicated to the employee.

Consult your attorney to discuss whether providing a letter is advisable in this particular situation.

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