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white paper<br />

a manager’s guide to<br />

handling terminations


white paper<br />

a manager’s guide to handling terminations<br />

for more information:<br />

call 1 800 go drake or<br />

visit drakeintl.com<br />

global offices<br />

• australia<br />

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founded in canada in 1951<br />

drake international<br />

416-216-1000 :: drakeintl.com<br />

© Drake International NA


white paper <strong>18</strong><br />

a manager’s guide to handling terminations<br />

contents<br />

1 :: handle with care - an introduction<br />

2 :: preparing for the termination<br />

• communication is key<br />

• general principles<br />

• reaction & support<br />

3 :: conducting the termination meeting<br />

• location, timing, & duration<br />

• content & delivery<br />

• common questions & answers<br />

• closing the meeting<br />

4 :: nurturing the survivors<br />

5 :: conclusion<br />

416-216-1000 :: drakeintl.com<br />

© Drake International NA


white paper <strong>18</strong><br />

a manager’s guide to handling terminations<br />

1 :: handle with care<br />

- an introduction<br />

Consider<br />

Is your organization equipped to professionally handle terminations<br />

while maintaining productivity, improving morale,<br />

and minimizing the chance of litigation?<br />

Terminating employees can be extremely stressful and traumatic<br />

for both management and employees. It requires<br />

special skills and thorough planning to ensure a smooth<br />

and successful outcome. For the employer, terminating an<br />

employee’s service, if handled poorly, can negatively affect<br />

the company’s:<br />

• Legal position<br />

• Finances<br />

• Employment brand<br />

• Public relations<br />

• Client relationships<br />

• Employee productivity and morale<br />

• Organizational vigour, including team focus and<br />

commitment, emotional optimism, and trust<br />

Exiting employees may experience a major trauma from losing<br />

the financial and emotional security of employment. This<br />

dislocation can manifest itself in both physical and mental<br />

forms.<br />

The focus of this white paper is on “the telling” and applies<br />

primarily to downsizing circumstances, although many of<br />

the principles can be applied to performance and misconduct<br />

issues. The fairness and transparency of the process for<br />

identifying redundant positions is a major concern to<br />

employee representative groups. In any event, this white<br />

paper should be considered in conjunction with existing<br />

Employee Relations policies/law and procedures as well as<br />

applicable Employee Contracts and Agreements.<br />

We stress that we are not legal advisers, and it is critical that<br />

organizations planning terminations take appropriate legal<br />

advice from suitably qualified personnel.<br />

This white paper from Drake International is designed as a<br />

general guide: It does not claim to provide an exact solution<br />

for every situation. It is essential to remember that all<br />

employees subject to downsizing are individuals with particular<br />

needs, responsibilities, prospects, and shortcomings.<br />

They all have overriding needs to be respected as individuals,<br />

not just one more casualty of change.<br />

Of equal importance is the effect on the manager conducting<br />

the termination and the message being broadcast to<br />

the remaining employees. The pressures on the termination<br />

manager are usually significant, and this white paper can<br />

+1 800 go drake :: drakeintl.com<br />

1 © Drake International NA


help that person prepare and cope.<br />

Our experience at Drake has shown that when higher levels of<br />

management provide visible support and assistance, results<br />

are more positive. In many cases, senior managers, who have<br />

made the major downsizing business decisions, have already<br />

moved on to the next challenge. Organizational communication<br />

and individual staff notification is still required as staff<br />

become familiar with the changes. Poor communication and<br />

support will lead surviving employees to feel abandoned and<br />

resist the organizational change, thus causing overall productivity<br />

to drop.<br />

Remaining employees may experience survivor shock as<br />

they go through many of the same emotions as the terminated<br />

employees. These include: anger, guilt, anxiety (Will I<br />

be next?), and depression.<br />

To minimize the likelihood of unfavourable repercussions<br />

in terminating employees, managers should heed these six<br />

guidelines:<br />

1. Prepare and plan for the total task and for each<br />

termination.<br />

2. Rehearse and role play the termination meeting.<br />

3. Coordinate the message with other necessary actions<br />

and subsequent support for both those exiting and<br />

those staying.<br />

4. Provide direction and structure or the next step for the<br />

exiting employee and also remaining employees.<br />

5. Tell the truth.<br />

6. Exercise best-practice leadership skills.<br />

The tasks do not get easier — even after a great number of<br />

terminations. Above all prepare and plan the exercise so you<br />

can deliver the message in a way that would be “acceptable”<br />

to you should you be the one on the receiving end.<br />

2 :: preparing for the termination<br />

Consider<br />

How can you maintain productivity while limiting business<br />

interruption?<br />

communication is key<br />

Who Should Deliver The Message?<br />

Generally, the manager responsible for the employee concerned<br />

should carry out the termination process. If this level<br />

of management is too low in the organization or too close to<br />

the employee involved, the message should be delivered by<br />

a manager with both knowledge of the employee and sufficient<br />

authority in the organization to conduct the task.<br />

In an individual termination, the participants in the termination<br />

meeting should include:<br />

• the immediate manager of the employee being<br />

terminated (or a more senior manager if the direct<br />

manager does not have sufficient authority for this<br />

task),<br />

• a human resources representative, and<br />

• the employee.<br />

It is important to ensure that the number of managers in the<br />

meeting do not vastly exceed the numbers of the employees,<br />

as this could be intimidating. One of the management representatives<br />

should make notes about the meeting immediately<br />

afterwards and file them for future reference if required.<br />

Understanding Individual And Job Circumstances.<br />

The employee’s personal circumstances and current tasks<br />

must be thoroughly researched. Timings and stand-by support<br />

are affected by several factors:<br />

• Try to avoid employee birthdays.<br />

• Steer clear of the days (or weeks) leading up to major<br />

holidays.<br />

416-216-1000 :: drakeintl.com<br />

2 © Drake International NA


white paper <strong>18</strong><br />

a manager’s guide to handling terminations<br />

• Check medical records for such existing conditions<br />

as asthma, heart problems, pregnancy (employee or<br />

spouse), which may indicate putting your company<br />

doctor on standby?<br />

• Check conduct and work relations to discover if<br />

security may be an issue? If so, what additional security<br />

measures need to be taken?<br />

• Do not deliver the message just before or after the<br />

employee’s involvement in a major and/or significant<br />

project or task.<br />

• If the employee is involved in key and/or sensitive client<br />

negotiations, wait until these are concluded or ease a<br />

replacement in carefully.<br />

general principles<br />

All information relating to a person’s severance should be<br />

prepared in writing. As organizations often produce “welcome<br />

aboard” packages for new employees, they also need to<br />

develop “separation” packages for exiting employees. These<br />

outline essential facts, procedures, and responsibilities to<br />

ensure a departure, free of additional stress and frustration.<br />

A terminated employee does not want to be overwhelmed by<br />

bureaucracy, which adds to stress as well as disappointment<br />

and anger at the organization.<br />

Termination Letters<br />

A letter of termination should be given to the employee at<br />

the time of the termination notification. It must be clear<br />

and concise and provide enough information and direction<br />

for the employee to review later and to take the next step.<br />

Being direct and to the point while containing all necessary<br />

information will assist the preservation of individual dignity<br />

and self-esteem.<br />

Consider the following structure:<br />

• Make the opening direct. Leave the employee in no<br />

doubt that the decision is final and is the result of a<br />

business decision.<br />

• Specify the effective date.<br />

• Write a brief paragraph recognizing service and<br />

contributions made to the business. To enhance the<br />

sincerity of the process, include specific and individual<br />

points.<br />

• If misconduct or performance is the reason for<br />

termination, include details about sufficient and proven<br />

evidence and process.<br />

• Even though all letters need to be consistent with each<br />

other, make sure each one appears personalized and is<br />

not a form letter.<br />

• Note financial arrangements in full or summarized,<br />

depending on the extent and complexity. If necessary,<br />

prepare a separate financial package and make it<br />

available at the meeting or as soon as practicable<br />

afterwards. Financial information includes:<br />

• pay in lieu of notice,<br />

• vacation and other leave entitlements,<br />

• pension entitlements and arrangements for payment,<br />

• severance payments (statutory and/or company offer),<br />

• payment of outstanding expenses, commissions, and<br />

bonuses, and<br />

• recovery of loans and other liabilities.<br />

Provide details and arrangements made for Outplacement<br />

Career Transition Services, including the name and contact<br />

information of the Drake Career Transition Consultant.<br />

Administrative Arrangements<br />

Administrative arrangements are generally communicated<br />

verbally or in supporting documentation. However, if they<br />

are particularly important, include them in the termination<br />

letter. These may include the following:<br />

• Arrangements for returning company property,<br />

particularly equipment (computer hardware and<br />

software, cell phones, pagers, technical and trade tools),<br />

furniture, publications, information, products, and<br />

promotional material. Consider allowing the terminated<br />

employee to keep a cell phone if they have a long trip<br />

back to their home. They will want to contact their<br />

416-216-1000 :: drakeintl.com<br />

3 © Drake International NA


support network immediately after the termination<br />

meeting.<br />

• Company vehicle arrangements, including return<br />

procedures, any entitlement for continued use, purchase<br />

options. If use of a company vehicle has been removed,<br />

make arrangements for travel home.<br />

• Security provisions, including return of keys, security<br />

passes, passwords, corporate credit cards, long-distance<br />

calling cards, and corporate privileged information.<br />

• Arrangements for clearing personal belongings from<br />

office, locker, or other locations. If the employee will be<br />

present, this should take place at a later date and after<br />

hours.<br />

reaction & support<br />

Common Reactions<br />

Faced with sudden change and involuntary job loss, people<br />

react in different ways. Part of your preparation is reviewing<br />

each person’s background and planning for the most likely<br />

contingency. We have evidence that job loss often results in<br />

emotions and behaviour patterns similar to those after the<br />

break-up of a close relationship or the sudden death of a<br />

close relative or friend, including:<br />

is not adversely affected by inappropriate actions during the<br />

termination meeting.<br />

Your goal is to be the respectful bearer of bad news, and to<br />

communicate next steps and services being made available<br />

to the employee. Unfortunately, your role at this time is a<br />

thankless one. However well prepared and respectful you<br />

are, nobody will appreciate your telling them they have lost<br />

their position. You will be able to measure your success<br />

only in the long term through achieving<br />

the organizational change goals and<br />

the feedback from a Drake Career<br />

Transition Consultant after a<br />

successful transition.<br />

Prepare yourself to recognize<br />

the emotional signs<br />

• shock and denial<br />

• hostility and anger<br />

• bargaining<br />

• relief and acceptance<br />

Dealing With The Emotions<br />

In some meetings, the employee may exhibit<br />

all of these emotions and behaviour patterns.<br />

Generally they will be experienced at least once<br />

and possibly several times over the subsequent<br />

period of transition. The Drake Career Transition<br />

Consultant will help the employee through this,<br />

but you will be faced with the opening round. It<br />

is therefore critical to ensure the emotional state<br />

416-216-1000 :: drakeintl.com<br />

4<br />

© Drake International NA


white paper <strong>18</strong><br />

a manager’s guide to handling terminations<br />

and focus on the best outcomes and support for the individual<br />

you are dealing with.<br />

Shock and Denial<br />

Manifested in stunned silence or such statements as: “I don’t<br />

believe it.” or “You must be joking!” or “But I’m the most<br />

(insert a variety of descriptive adjectives and nouns) you<br />

have”.<br />

Often people sit in silence after the opening statement. Try<br />

not to overload them with subsequent information until they<br />

have had time to express some reaction. Ask questions to<br />

determine if they have heard and understood the message.<br />

Gently repeat and reinforce the news to them. Also, ensure<br />

that you pass this sort of reaction on to the Drake Career<br />

Transition Consultant or Human Resources department so<br />

subsequent behaviour can be monitored.<br />

Anger and Hostility<br />

Raised voices, abuse (both personal and organizational),<br />

verbal threats and physical signs such as balling the fists,<br />

colouring, and controlled breathing are all signs of a sudden<br />

or brewing storm. Listen for such statements as: “If you think<br />

I’m going to accept this without a fight...” or “Who made the<br />

decision? I’ll bet it was (insert name), he/she has always had<br />

it in for me.” or “I’ve never really liked working here anyway.”<br />

In the face of anger and hostility, do not get drawn into<br />

justifying the situation, taking sides, or agreeing with the<br />

employee against “the powers that be”. In other words, don’t<br />

become defensive or argumentative as this will not defuse<br />

the situation but will probably only make it worse. Let the<br />

employee express anger. Acknowledge it but concentrate on<br />

retaining your own composure. Remember your script and<br />

look for openings to lead back towards a discussion around<br />

next steps and what support will be made available.<br />

Consider this response: “We can schedule a time to discuss<br />

your point at a later date, but my sole purpose today is simply<br />

to communicate the decision, provide the package, and introduce<br />

your Drake Career Transition Consultant.”<br />

Bargaining<br />

This is closely associated with denial, as the employee grasps<br />

at straws. Bargaining statements include: “Look, I’m sure<br />

I could be useful in the ‘xxx’ department somewhere. I’ve<br />

always got along well with (insert name).” or “These decisions<br />

are obviously a cost-cutting measure. Have you considered<br />

(insert any conceivable option) rather than letting me<br />

go?” or “Look, I’m just about to (e.g., remortgage the house,<br />

buy a car, send the kids to the orthodontist). Couldn’t the<br />

decision be delayed a bit?”<br />

416-216-1000 :: drakeintl.com<br />

5 © Drake International NA


Assuming that you and the organization have done your<br />

homework, this is not the time to offer a reprieve. This would<br />

most likely give false hope, raise any number of inconsistencies,<br />

and leave you wide open to multiple challenges later<br />

on.<br />

Relief and Acceptance<br />

Normally viewed as controlled reaction, this is seen in people<br />

who have been expecting a decision or where the process has<br />

been going on for a long time or where a lot of uncertainty<br />

has existed in the organization. Even then, there will be hints<br />

of other emotions displayed. Listen for: “Well, I was expecting<br />

this.” or “I’m glad the decision has been made. What now?”<br />

or “This comes as no real surprise; I’m just surprised you took<br />

so long.”<br />

To some extent, this sort of accepting reaction can be the<br />

most dangerous, as individuals may not be allowing themselves<br />

to express their pent-up emotions. They could become<br />

your “ticking bomb”. Subsequent and timely counselling in a<br />

Career Transition program is often essential if progress is to<br />

be made in transition. During the meeting, probe gently and<br />

ensure that the message was heard and understood, and lay<br />

out the necessary and subsequent actions and the availability<br />

of support and structure open to them. Advise the Drake<br />

Career Transition Consultant and/or Human Resource representative<br />

of the controlled reaction.<br />

Scripts<br />

The termination meeting is not the time to “fly by the seat of<br />

your pants”. A script is essential, and the content of the message<br />

must be consistent across the organization. Individual<br />

employee circumstances and individual managers’ communication<br />

styles should be considered, but the script should not<br />

deviate from the agreed organizational policy.<br />

Your script must be prepared for several contingencies. And it<br />

must allow time for the employee to react and to understand<br />

what you have said. A common difficulty in termination<br />

situations is that the employee hears what you say but does<br />

not understand the reality or the finality of the situation. Be<br />

prepared to repeat your message, but keep your delivery brief<br />

and to the point.<br />

Do not let the emotions of the situation engulf you. Keep<br />

your script at hand and ensure you follow it.<br />

Role Plays<br />

During the preparation phase, it is useful to discuss likely<br />

employee reactions and to role play various contingencies. If<br />

possible, role play with someone who knows the employee<br />

concerned and has some idea of the likely reactions. Consider<br />

having a professional third party, such as the Drake Career<br />

Transition Consultant, facilitate a coaching session to prepare<br />

managers conducting terminations. When few people are<br />

aware of the impending decision, you may have to limit the<br />

role play to individual rehearsals.<br />

Support<br />

Depending on specific circumstances, you may need medical<br />

and/or security support on stand-by to handle emergency<br />

situations, but be discreet. Of more benefit is the immediate<br />

availability of Career Transition support.<br />

Broad-based industry experience has led us to strongly recommend<br />

access to a Career Transition Consultant immediately<br />

following the termination meeting. This offers many<br />

benefits to both the employee and the manager:<br />

• The employee has immediate access to structure and<br />

direction as well as a neutral and empathetic person to<br />

release a range of emotions to.<br />

• The manager receives assistance in preparing,<br />

reviewing, and practising scripts and arrangements with<br />

an objective process expert.<br />

• The employee receives assistance with personal stress<br />

management strategies and tools.<br />

• The manager has the freedom to immediately focus on<br />

the core management responsibility — notifying and<br />

recommitting the remaining team members.<br />

416-216-1000 :: drakeintl.com<br />

6 © Drake International NA


white paper <strong>18</strong><br />

a manager’s guide to handling terminations<br />

3 :: conducting the<br />

termination meeting<br />

Consider<br />

How do you maximize your integrity and commitment to<br />

your employees?<br />

location, timing, and duration<br />

Where?<br />

Consider the privacy and respect of both exiting and surviving<br />

employees. Book a room away from the employee’s business<br />

area and preferably from your own office. Try to arrange<br />

for a location with two exits: The second exit can provide onthe-spot<br />

access to on-site Career Transition support.<br />

When?<br />

Deliver the message during business hours early in the day<br />

and early in the week, preferably before lunch time and<br />

with at least two days left in the week. Avoid delivering the<br />

message over any sort of refreshments (e.g., coffee, drink,<br />

lunch), though tea, coffee, and water (and tissues) may be<br />

made available after the message has been delivered, most<br />

appropriately during the follow-up with the Career Transition<br />

consultant.<br />

remember your objective. The following paragraphs provide<br />

a guide to content and how to handle potential objections or<br />

reactions. They are a guide only and should be adapted to fit<br />

individual circumstances.<br />

The Opening Statement<br />

Begin with a clear and concise opening statement with the<br />

reason for termination, such as: “Barry, I have asked you to see<br />

me today because I have to deliver some bad news to you. The<br />

business has decided to make some changes/restructuring.<br />

Unfortunately, as a result of these decisions, your position<br />

has been eliminated. I am advising you that your employment<br />

with (name of organization) will be terminated effective<br />

(date).”<br />

Delivery<br />

Select words you are comfortable with but that clearly convey<br />

the message that the employee is no longer employed<br />

with the organization as of the effective date. This point may<br />

need to be repeated several times during the course of the<br />

termination meeting, like a “broken record”.<br />

How Long?<br />

Keep the termination meeting to no more than ten minutes:<br />

Its sole purpose is to deliver the message that the person no<br />

longer works for the organization. You do not want to enter<br />

into debate. If the employee wants to dispute the situation,<br />

be prepared to offer further discussion at another time. The<br />

follow-up meeting with the Career Transition consultant may<br />

last longer to allow time to properly assess the employee<br />

frame of mind, exchange contact information, and discuss<br />

next steps.<br />

content and delivery<br />

No matter how well prepared you are, expect the unexpected.<br />

No situation goes entirely to plan, but by preparing<br />

for a range of contingencies, you will be able to adapt to<br />

most reactions during the meeting. Keep to your script and<br />

416-216-1000 :: drakeintl.com<br />

7 © Drake International NA


common questions and answers<br />

The employee will most likely ask a number of questions relating to the selection of positions and individuals chosen for<br />

downsizing, benefits, conditions, financial advice, unemployment benefits, and so on. You may not be able to answer many of<br />

these. However, ensure that any information you do provide is accurate: Stick to what is in the termination letter or what you<br />

know is 100% true. If you are unsure, refer them to the appropriate individual in your organization.<br />

These are some questions you may hear and your possible answers. They will not apply to every termination situation, and you<br />

will need to prepare responses in line with your organization’s own policies and procedures.<br />

Q: “Why me?”<br />

You need to be clear with the employee that it is strictly a<br />

business decision, based on such factors as organizational<br />

changes, financial downturn, relocations, existing work skills,<br />

work experience, team needs, work availability, and perhaps<br />

performance.<br />

Q: “What about another opportunity?”<br />

Stand your ground, as any concession will only create more<br />

problems. Try to get the individual to focus on the next step<br />

in their career and not the past.<br />

A: “The decision was not taken lightly. It was made after an<br />

exhaustive review of options and consideration by management<br />

(be prepared to outline this procedure). In your case, the<br />

decision was based on (insert reason, etc.).”<br />

A: “We have already examined the alternatives before making<br />

the decision. We do not think it is in your interests or<br />

ours to hold on in the hope that another opportunity will<br />

emerge. We believe that your own interests would be better<br />

served by exploring opportunities outside this company.<br />

To help you move onto the next step in your career, we have<br />

arranged for professional Career Transition services from<br />

Drake International to assist you in this transition.”<br />

Q: “You cannot be serious. I want to speak to xxx!”<br />

This is an example of non-acceptance as the person tries to<br />

find a medium to dispute the decision through ‘xxx’ or any<br />

other more senior manager. The key is to not exacerbate the<br />

situation by blocking the request, but being quite clear that<br />

the decision is irrevocable.<br />

Q: “You can’t do this to me just because I’m xxx.”<br />

This objection could relate to seniority, ethnicity, gender, age,<br />

or any other perceived reason for prejudice. First, ensure that<br />

there is no hint of bias in the decision and that it is not in<br />

conflict with any existing unfair dismissal laws or accepted<br />

practice. Second, refute the accusation calmly and stress the<br />

reasons in the opening statement.<br />

A: “It is your right to seek an appointment to speak with ‘xxx’<br />

at a later date; however, I must stress that the decision was<br />

made after full consideration and has already been endorsed<br />

at this level.”<br />

A: “As I said before, the decision was made for business<br />

reasons. Your (claim of prejudice) did not enter into the decision-making<br />

process. The factors that were considered were<br />

(repeat reasons).”<br />

416-216-1000 :: drakeintl.com<br />

8 © Drake International NA


white paper <strong>18</strong><br />

a manager’s guide to handling terminations<br />

Q: “What have I got left in life?”<br />

Veiled or direct threat questions are usually made in anger.<br />

They may be threats of legal action, direct revenge, press<br />

exposure, claims of large and powerful friends and contacts,<br />

and hints of acts of personal desperation. In these instances,<br />

acknowledge the anger but try to direct attention to positive<br />

steps that can be taken and the arrangements set in place. In<br />

any event, document all threats and ensure that the appropriate<br />

staff is made aware of the situation.<br />

Q: “What about ‘xxx’ - I’m better/senior/more useful<br />

than them?”<br />

Do not allow any sort of comparison with other employees<br />

into the meeting. Steer away from the subject by a direct<br />

appeal to individual confidentiality. Never reveal the names<br />

of other terminated or surviving employees.<br />

A: “I’m very sorry you feel that strongly, but please take time<br />

to consider the implications of what you have said. I do want<br />

to stress that we are very committed to helping you move<br />

forward with the next steps in your career. No matter how<br />

you feel at this stage, we really want you to take advantage<br />

of the professional Career Transition services we have made<br />

available and talk the issue through.”<br />

A: “I can’t answer that. I’m sure that you would not want me<br />

to discuss your situation with ‘xxx’ or any of your other colleagues.”<br />

summary of how to deal with responses from exiting employees<br />

Avoid:<br />

• Offering apologies or detailed reasons for the<br />

termination.<br />

• Suggesting that you know how the person feels.<br />

• Offering false hope or making promises you cannot<br />

keep.<br />

• Laying the blame on higher levels or others in the<br />

organization.<br />

• Discussing other employees.<br />

• Being drawn into arguments or debate over past<br />

issues.<br />

• Using humour or engaging in small talk.<br />

• Straying from the parameters of your prepared<br />

script and response notes.<br />

• Getting involved in any sort of hostile exchange.<br />

Positive actions include:<br />

• Being factual and truthful.<br />

• Being direct and to the point.<br />

• Stressing the finality of the situation.<br />

• Being prepared and willing to listen.<br />

• Allowing the employee time to respond.<br />

• Repeating the message as often as you think<br />

necessary.<br />

• Allowing periods of silence in the conversation.<br />

• Asking agreement from the employee to move<br />

onto the next stages of the discussion.<br />

• Reviewing the separation package.<br />

• Keeping to the script.<br />

• Clarifying the separation date and the next step.<br />

• Ensuring the employee is introduced to their Drake<br />

Career Transition Consultant.<br />

416-216-1000 :: drakeintl.com<br />

9 © Drake International NA


Clarify Departure Conditions<br />

When possible, include the conditions of severance in the termination<br />

letter. Highlight the main points of these conditions<br />

during the meeting and ensure that the employee knows<br />

who to contact to discuss the details of the package.<br />

Often individuals want to discuss this with the Career<br />

Transition Consultant. The Consultant should not provide<br />

the terminated employee with information relating to their<br />

rights and entitlements because they may get the company<br />

position wrong or be seen by the employee as representing<br />

the company. Drake Career Transition Consultants ensure<br />

they remain and are perceived to be neutral, third-party<br />

resources.<br />

It is essential that the severance letter be clear and unambiguous<br />

and/or you make the internal specialist available as<br />

soon as possible to clarify the situation. For example:<br />

“Would you like to review the conditions of severance now?<br />

(pause for agreement) In line with company policy, you will<br />

be entitled to receive (parameters of package), which is about<br />

($$$$$) in your case. The letter (or attached document) provides<br />

the exact figures”.<br />

“If you speak with Payroll (or ‘xxx’), they will be able to give<br />

you the exact breakdown. I’m sure that you will want to consider<br />

your financial options and strongly encourage you to<br />

seek independent advice in that area. As part of your transition<br />

program, we have arranged for independent financial<br />

counselling through the Drake Career Transition program (or<br />

under separate arrangements, whatever the case).”<br />

Future Direction and Structure<br />

Communicate what is expected of the employee over the rest<br />

of the day and/or until the departure date. Some of this may<br />

already be laid out in the termination letter. However, it will<br />

enhance your position if you can provide this direction, even<br />

if it is only a broad summary and contains specific referral to<br />

the staff member who will administer the departure and to<br />

the Drake Career Transition Consultant who will facilitate the<br />

transition program. For example:<br />

“I would now like to indicate where we will go from here.<br />

(Name of staff member responsible for termination administration)<br />

will make sure that all of your pre-departure administration<br />

is completed. Once you have had a discussion with<br />

him/her and the Career Transition Coach from Drake, I’d like<br />

you to go home and think about the information you have<br />

been given. If you have further questions, please speak with<br />

(name), who will provide you with the information you need.<br />

Then, tomorrow you can start putting together the plan in<br />

moving towards the next step in your career.”<br />

closing the meeting<br />

There is no easy way to close the meeting. To some extent, it<br />

will depend on the response of the employee and your own<br />

interaction. At closure, you will need to pass over the letter<br />

and any associated documentation and direct the employee<br />

to the next meeting. Although you should not apologize for<br />

the decision, there is no reason why you should not offer your<br />

personal support and express your best wishes for the future.<br />

For example:<br />

“I am sorry that things did not work out. Here is your termination<br />

package. I want you to know that (organization name)<br />

is very keen to assist you during your transition. As I said earlier,<br />

we have put together some support in terms of the separation<br />

package and Career Transition services and would like<br />

you to take advantage of this. I will now introduce you to (HR<br />

Officer and/or Career Transition Consultant) who will provide<br />

you with more information on where we go from here.”<br />

4 :: nurturing the survivors<br />

Consider<br />

How do you minimize the negative effect on morale for<br />

remaining employees?<br />

Recognizing the Potential Problem<br />

When a number of employees lose their positions through<br />

downsizing, feelings of doubt, suspicion, and lack of confidence<br />

often spread throughout the organization. Remaining<br />

employees sometimes feel guilty about being kept on when<br />

416-216-1000 :: drakeintl.com<br />

10 © Drake International NA


white paper <strong>18</strong><br />

a manager’s guide to handling terminations<br />

well-respected colleagues have been displaced. The rumour<br />

mill starts up and, before long, morale drops, uncertainty and<br />

anxiety increase, and productivity declines. As a manager, you<br />

will need to try to counter these tendencies, all of which are<br />

perfectly natural and should be expected, even among the<br />

most loyal and disciplined workforce.<br />

Preventing or Minimizing the Problem<br />

You can take several steps to mitigate the effect of downsizing<br />

on the remaining workforce — the survivors. To prevent<br />

or minimize “survivor shock”, you will need to conduct meetings<br />

with them soon after you have held the termination<br />

meetings. Schedule and deliver them concurrently for best<br />

results. It is essential to deliver an accurate and specific message<br />

to remaining employees. For example:<br />

“I called this meeting today to tell you all personally that<br />

because of (insert reason), we have had to make a number of<br />

changes. This includes downsizing our workforce. No one at<br />

this meeting is affected. Those who have been affected have<br />

already been (or are currently being) advised. This is a difficult<br />

situation, and I want you to be aware of what this decision<br />

means for the future (outline any future benefits, direction,<br />

plans, etc).<br />

“The people who have been affected will leave over the next<br />

(time frame). They may let you know their situation or may<br />

prefer to keep it to themselves for the moment. Whatever<br />

the case, I’m sure that you will agree that they need all the<br />

support and understanding we can offer them. To assist their<br />

transition, the company has arranged for a support program<br />

(outline package and internal and external support being<br />

offered), which will help them through this period of transition.”<br />

Suggested Actions<br />

In addition, you will need to implement some or all of these<br />

measures:<br />

remaining employees dealing with both the substance<br />

and underlying causes of rumours.<br />

• Show empathy. Avoid negativity and offhand remarks<br />

about those who have left. Limit yourself to the facts<br />

and maintain discretion. Be prepared for emotional<br />

outbursts: Listen but don’t become defensive or<br />

argumentative.<br />

• Provide neutral forums for emotions and issues to<br />

be expressed and positively focused. Arrange for<br />

survivor, or change, workshops for supervisors and staff<br />

members, facilitated by Change Management experts.<br />

This has proven very effective in fast-tracking teams to a<br />

recommitment to the organization and its goals.<br />

• Be consistent and accurate. This will help establish<br />

trust and enhance your own reputation as an effective<br />

manager and leader. Do not make any predictions about<br />

what may or may not happen when you do not have<br />

accurate information. Follow up on suggestions and<br />

queries when you cannot provide answers on the spot.<br />

• Provide specific guidance. People sometimes sense a<br />

vacuum after downsizing. Ensure that specific work<br />

priorities and directions are laid out to focus the minds<br />

of team members on the job at hand. This can help<br />

prevent uncertainty and anxiety and establish a sense<br />

of purpose.<br />

• Schedule follow-up meetings. Subsequent meetings<br />

dealing with goals, responsibilities, and objectives can<br />

help maintain productivity.<br />

• Listen for and solicit information. Now is a good time to<br />

exercise “management by walking around” techniques.<br />

Listen and look for the undercurrent that may affect<br />

performance and productivity. Take the time to action<br />

staff follow-up. Prevention is better than cure.<br />

• Be visible. This is not the time to keep a low profile<br />

in the office or get locked away in meetings. Get out<br />

and about and be on hand to answer questions from<br />

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11 © Drake International NA


5 :: conclusion<br />

In an increasingly challenging business climate, many organizations face significant change to<br />

maintain a competitive advantage. The prospect of talent rationalization is often a consequence<br />

of this change.<br />

Terminating employees without the proper process can have an overly negative effect on the individual<br />

and cause unnecessary business disruption.<br />

There is no guarantee that adherence to any particular set of guidelines will prevent all negative<br />

reactions from occurring. However, the measures presented in this white paper will help managers<br />

minimize the adverse affects of downsizing on the terminated employees, themselves, and<br />

those employees remaining in the organization.<br />

Essentially, the task becomes one of leadership as you strive to influence people into accepting, or<br />

at least coming to terms with, a situation they would rather not face.<br />

People faced with termination are vulnerable. It is critical that managers involved in the process<br />

ensure this vulnerability is not allowed to compromise the future well-being and development of<br />

the employee outside the organization. A willingness to approach each termination as an individual<br />

situation, preparing thoroughly, maintaining sensitivity and perspective can make a positive<br />

impact on each transition.<br />

Throughout this process, it is also important that managers be aware of the impact on themselves.<br />

It is often a difficult and stressful meeting for them. Managers are therefore encouraged<br />

to develop healthy lifestyles to cope with the stress of terminating employees.<br />

When in doubt, always refer back to a professional in the particular area of concern. You cannot<br />

assume total responsibility for areas you are neither trained in nor prepared for. However, you<br />

cannot absolve yourself of all responsibility, and there is much you can do to prevent issues from<br />

arising. drake outplacement/career transition services recommends considering the suggestions<br />

in this white paper and integrating them into your existing termination process.<br />

If you require assistance, call us. Our career transition and outplacement solution assists organizations<br />

to implement organizational change while balancing the needs of the business with the<br />

needs of their staff.<br />

416-216-1000 :: drakeintl.com<br />

© Drake International NA


Founded in 1951<br />

drake international assists organizations to improve their profitability by enhancing their<br />

productivity and performance through people. our suite of talent management solutions<br />

has been created to improve your organizational effectiveness and your bottom line.<br />

for more information:<br />

call 1 800 go drake or<br />

visit drakeintl.com<br />

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© copyright 2017, drake international na.<br />

all rights reserved. drake and its logo are trademarks of drake international. this white paper uses general information to introduce<br />

the topic. to find out how this information can apply to your specific situation, consult a qualified drake solutions specialist.

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