What are the steps I need to take to properly terminate an employee in Pennsylvania?
To properly terminate an employee in Pennsylvania, there are several steps that an employer must take in order to ensure that the process is carried out lawfully and in compliance with current legal standards.
- Review the employment contract – Before terminating an employee, it is important to review the terms of their employment contract, if applicable, to ensure that any notice required or termination provisions are followed. It is also important to understand any other contractual obligations, such as severance pay or continuation of benefits.
- Determine the reason for termination – Pennsylvania is an “at-will” employment state, meaning that an employer can terminate an employee for any reason, except those prohibited by law. However, it is important to determine the reason for termination in order to avoid potential wrongful termination claims.
- Give proper notice to the employee – In most cases, employers in Pennsylvania are not required to give advance notice of termination. However, if the employment contract or company policy requires notice, it must be followed. In addition, employers must provide notice of termination to an employee who is covered by the federal WARN Act, which requires 60 days’ notice before a mass layoff or plant closing.
- Collect company property – Make arrangements for the employee to return any company property, including keys, security badges, computers, and other equipment. If the employee has access to confidential information, make sure that they return this information as well.
- Pay outstanding wages and benefits – Pay the employee any outstanding wages, including accrued but unused vacation time, and ensure that any benefits they are owed, such as COBRA continuation coverage, are provided.
- Document the termination – It is important to document the reason for termination, the employee’s performance history, and any discussions or warnings given to the employee leading up to the termination. Doing so can help protect the employer against potential wrongful termination claims.
- Follow nondiscrimination laws – When terminating an employee, it is essential to follow nondiscrimination laws and avoid any form of discrimination based on race, gender, national origin, sexual orientation, religion, or disability. If discrimination is suspected, it is best to consult with an attorney to assess potential legal risks.
In summary, the steps to properly terminate an employee in Pennsylvania include reviewing the employment contract, determining the reason for termination, providing proper notice, collecting company property, paying outstanding wages and benefits, documenting the termination, and following nondiscrimination laws. Employers should also consult with legal counsel to ensure compliance with current laws and regulations and to avoid potential legal risks.