One of the most difficult decisions for an employer to make is the decision to terminate someone’s employment. Termination is also one of the most likely employment decisions to lead to litigation. It is therefore imperative that employers carefully consider the decision and analyze the risks inherent in the termination prior to taking action. [FOOTNOTE 1]
An analysis of the risks of litigation, however, involves more than just a review of the personnel file; it involves an analysis of the employee’s personal profile, an assessment of the employer’s motivation, policies, and documentation, as well as a review of the current status of the law. These factors are interactive rather than independent, and the application of the factors to form a decision is more art than science. Accordingly, even the most thorough analysis and course of action by the employer is not guaranteed to prevent litigation. Nevertheless, careful legal advice can minimize the risks and costs of litigation.
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