Ethical Termination Strategies

This report examines the ethical and legal ramifications of improper employee termination strategies. It highlights that termination, even when necessary, sends a powerful message to remaining employees and must be handled ethically. The report details several risks associated with unethical terminations, including lawsuits for violating employee rights, the leakage of trade secrets, reputational damage through social media, decreased employee morale, and increased financial burdens from legal fees and replacement costs. The importance of adopting appropriate knowledge management systems, acceptable use policies, and clear communication to address monitoring, privacy, and termination issues is emphasized. The report concludes by suggesting that ethical and well-managed termination processes are crucial for maintaining a positive work environment and minimizing potential risks to the organization.

Ethical issues and risks involved in wrong termination strategies
The process of terminating an employee is actually an indirect powerful message that the
organisation communicates to its remaining employees. As the message could be both
positive and negative, ethically and morally speaking, the process of termination has to be
adopted only when performance coaching has failed. (Heathfield. M, 2016).
Termination, if not effected ethically, could in turn give rise to ethical issues like
discrimination claims, retribution for fraud and retaliation from the affected
employee.
As an organisation cannot always follow the employment-at-will principle, wrong
termination strategies and disclosure of personality traits of an employee, other than
fraudulent behaviour as reasons for termination would potentially pose the following risks
to any organisation: (Jacoby.M , 2015)
 Upon violation of employee rights, the organisation can be sued by the estranged
employee.
 Trade secrets could be leaked to competitors and company property like mobile
phones, credit cards, computer passwords could be lost altogether.
 Company could lose its reputation, if the affected employee, discloses the
inappropriate termination strategy adopted against him/her in social media networks.
 As termination in itself would affect the party to concern psychologically, the
employees who continue to work with the organisation, start working under pressure,
leading to low morale and poor performance.
 While replacing an employee attracts costs, facing legal suits further poses extra
financial burden upon the company.

Adopting appropriate knowledge management systems and Acceptable Use policies,
and communicating the same to the employees, is the right way to address monitoring,
privacy and termination issues. (Oprea, 2012)
References
1. Jacoby. M (2015). Five risks when small businesses fire/terminate employees.
Retrieved from https://www.huffingtonpost.com/margaret-jacoby/five-risks-when-
small-bus_b_6926700.html
2. Yerby. J. Legal and Ethical issues of employee monitoring. Retrieved from
http://www.iiakm.org/ojakm/articles/2013/volume1_2/OJAKM_Volume1_2pp44-
55.pdf
3. Heathfield. M. (2016). How to fire an employee. Retrieved from
https://www.thebalance.com/how-to-fire-an-employee-1917907