Hiring and firing: What every business owner should know

Hiring and firing have been two core business aspects for a long time. Both happen every day and sometimes without any particular reason.

Having the right employee in each position is a crucial component of running a successful business. It’s important for a business leader to incorporate the best strategies for hiring and firing employees, which we will explore in this post.

Hiring and Firing Guide

Hiring means adding new workers who provide services for a business. Firing reduces the number of current workers, who will no longer work for the company. Both hiring and firing require predetermined procedures and documentation. This benefits both company and employee and helps avoid any legal setbacks.

Before going any further, please remember that this is not official legal advice. If you have any concerns, it’s best to consult an employment lawyer.

{{banner-cta}}

Guidelines for hiring

Hiring is normally an exciting time for a company. Before you start hiring new employees for your small business, there are several steps you should follow to make sure you’re legally compliant and in the right spot to hire the best individual for each position.

Make sure that all questions you ask are legally compliant:

All questions asked and materials used must be legally compliant. For example, Industry Week states that it’s almost always illegal to ask for an applicant’s marital status, birth date, or religious affiliation.

Write a great job description that clearly explains the position:

Many people, unfortunately, don’t have a clear idea of what they’ll be doing until they actually start a job. Precisely explain what skills are necessary and what the job entails in the job description and during the interview process.

Be effective at conducting interviews:

According to Business News Daily, It’s just as important to focus on factors such as temperament and coachability as it is to ask about specific job-related skills. It’s also important to let the candidate ask questions. This way, you’ll know how much they’ve researched your company and how they view your specific industry.

Consider hiring internally:

While many small businesses may not have an adequate pool of applicants for every job, it’s often a good idea to hire internally if possible. Promoting a current employee will save you money. You’ll also have an individual who has already adapted to the work environment.

Guidelines for firing

Terminating an employee can be an emotional experience for both employee and employer. It’s important to follow a specific procedure when firing an individual.

Keep extensive documentation about all employees:

It’s absolutely crucial that every significant incident or interaction involving an employee is well documented. If there are adequate reasons for firing an employee, there needs to be documentation to prove it. Follow all workplace policies.

Follow all workplace policies:

There needs to be explicit procedures in place regarding the termination of employees. Every termination needs to be carried out in the same way. Treating employees differently will open up your company to potential lawsuits.

Make sure you are complying with the law:

According to Forbes, if an employee didn’t sign a contract, you can fire them at will. An employee with a contract can only be terminated for reasons stated in the contract.

When firing someone, make sure you have witnesses present:

To avoid potential lawsuits, it’s always a good idea to have another individual present when you’re terminating an employee.

These guidelines will help you more effectively hire and fire employees. Consistently following procedures can make the process run more smoothly and help reduce any potential legal complications.

Software can help too. With Homebase hiring, we’ll help you find quality candidates for free in under a minute. With free syndication to the top online job boards and customizable pre-written job descriptions, you’ll build a great team in less time.

Remember, this is not official legal advice. If you have any concerns, it’s best to consult an employment lawyer.