Things to Consider when Firing or Demoting an Employee

Before you fire an employee or take some other negative employment action, you should have some awareness of the law. Fewer problems result if there is a procedure or established company policy. It is wise to consult an employment attorney about the particulars of the potentially troublesome termination to get advice about what steps should be taken. Unless you have entered into a contract with an executive or key person or are subject to a collective bargaining agreement, your employee is probably considered an employee-at-will. A review with legal counsel is wise to assure that you have followed any contractual promises, including proper notice. This review may include Wages Act Compliance – which you have paid the employee for unused vacation days, earned commissions, overtime and other earned compensation or you will run afoul of the law.