It’s never a pleasant or easy task to exit staff from your organisation – even when they aren’t adding the kind of value everyone wants. No one likes to make decisions that result in someone losing their job. And exiting a staff member shouldn’t be easy in any case. Companies and leaders need to do everything they can before they decide that a staff member’s time is up; that is a key responsibility.

Staff are let go for a number of reasons, of course. Sometimes it is just market-related – external factors which make reducing headcount essential. But at other times, a hiring decision may prove to have been wrong, and things just didn’t work out. On other occasions the organisation changes over a period, and the expectations of job roles and responsibilities often change with it –  we don’t live in a vacuum, and organisations need to constantly innovate to survive. Unfortunately, some staff are simply unable (or unwilling) to change or up their game in response to a new environment.

But we are all human – even us ‘heartless’ bosses. And we tend to delay making those difficult decisions until we are forced to – usually until when the business faces financial headwinds because of issues in the market, or concerns with the general economy.

I have been criticized by my direct reports in the past, because I used to leave it until the last possible minute to have those difficult conversations which result in staff departures. It was pointed out to me quite clearly that I was sending the wrong message to the whole staff – that not doing your job as you need to is acceptable. My Line Managers also rightly criticized me for making their jobs more difficult by expecting outstanding performance from a group that couldn’t possibly function as it needed to do to achieve it’s ambitious targets.

Now don’t get me wrong, no-one should be on the wrong end of a difficult conversation and be surprised. Every member of your team should rightly expect to be told if things are not where they need to be. You can’t just exit them! Staff should be given the opportunity and time to improve – and they need to be provided with the support to enable them to do so. But if all that fails, then I believe that those difficult decisions about exiting the business need to be had, in a respectful manner of course, sooner rather than later.

Here’s 5 reasons why

1. Delaying the difficult decisions often isn’t good for business. You need to be careful about the kind of messages you are sending to the rest of your staff – and you also need to show that you are aware of what is going on the ground, and that you will act in a decisive manner when there is the need to do so.
2. Postponing making those tough calls can make it more difficult for senior members of your team to achieve their own objectives. Your default position as a leader must be to try to get the best out of everyone in the company, but if ‘the best’ is unfortunately not good enough, you need to be seen supporting your leadership team and making sure that they have the talent they need to do their jobs and hit their targets.
3. Staff generally prefer to end the uncertainty fairly early – especially if they have done everything they can to improve their performance and are still coming up short. People aren’t stupid; they know when things aren’t going well – and it’s no fun knowing that you are struggling, just waiting everyday for that axe to fall; it’s not great for mental wellbeing.
4. Waiting until the market contracts or the economy struggles to make those tough calls might well be an easier option for the boss who can more easily justify his or her decisions during these times, but it’s not great timing for the individuals who are let go. There are bound to be fewer opportunities in the workforce during a general downturn, and life will no doubt be more difficult for individuals looking for new jobs. That’s not good.
5. And there is another really important reason for making those difficult calls when you should do, rather than having to do it when you have no choice as the business cycle has turned against you – letting people go during better times means that the company can afford to be more generous with people on their way out. There can be nothing worse for a member of staff who has been let go than being worried about finances and feeling pressured to get that next job quickly. It’s important to treat staff well on the way out if you can – and you will be in a better position to do so if you don’t wait until it is too late and your business finances are under pressure.

So, I know that this is a sensitive topic and something that people generally don’t like to talk about. But my point is that we should discuss this – bosses need to make those tough calls when it’s right to make them – not delay taking action until forced to do so.

If you are out of options as you have tried everything to help and support a member of staff to improve and it just hasn’t worked, it’s time to act – it’s better for the business, for your leadership team, for the staff who remain and for the individuals who are being told that they need to move on.

Being a leader is about making those difficult decisions – and doing what’s right for everyone at the best possible time and in the most appropriate way.