How to Fire an Employee: Steps, Script and State Rules

Not a substitute for the advice of an attorney. General information; laws vary by state. Terms of use

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The short answer

To fire an employee, review the documentation and your policy, check your state's final-pay rule, prepare the termination letter and final pay, hold a short private meeting where you state the decision clearly, collect company property and close access, and give the employee written information about final pay and benefits.

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Termination letterThe decision, the last day and final pay in writingStep 4 · Most used Employee offboarding checklistProperty, access and final payStep 6

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The checklist before, during and after the meeting, what to say, your state's final-pay rule with its official source, and the termination letter and exit checklist ready to fill in.

Steps

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Review the fileWarnings, the PIP if there was one, and your policy. The reason you give should match what is in the file.
Check the timingHas the employee recently complained about discrimination or harassment, asked for leave or an accommodation, or taken part in an investigation? If so, get advice before you act.
Check your state's rulesPick your state on this page: final-pay timing, payout of unused vacation or PTO, and any notices you have to give.
Prepare the documentsTermination letter, final pay (or its date), information about benefits, and the exit checklist.
Hold a short, private meetingState the decision in the first minute. Have a second person present. Do not debate the decision.
Collect property and close accessKeys, devices, accounts and codes, ideally at the end of the meeting.
Follow up in writingFinal pay on time, benefits information, and the personnel file completed and kept.

0 of 7 done

What to say

Keep the meeting under 15 minutes. Say the decision early and clearly; a long lead-in makes it harder for everyone.

Decision“I have difficult news. We have decided to end your employment, effective [date].”

Reason (short)“This follows [the performance plan / the warnings on dates / the elimination of the position].”

Next steps“This letter covers your final pay on [date], your benefits and the property to return.”

Listen“I understand this is hard to hear. Do you have questions about the next steps?”

Close“[Name] will help you collect your things. Thank you for the work you have done here.”

What to leave out

Debating or reopening the decision
Giving a different reason from the one in the file
Promising a reference you will not give
Anything about age, race, sex, religion, disability, pregnancy, national origin or other protected characteristics

5 common mistakes

Missing the final-pay deadline. Some states require final pay immediately or within days. The U.S. Department of Labor's last paycheck page notes that federal law does not require immediate payment but some states may. Check your state before the meeting.
A reason that does not match the file. If the letter says performance but there are no warnings or reviews on file, the decision is harder to explain later.
Firing soon after a complaint. The EEOC's retaliation page says employers are free to discipline or terminate for non-retaliatory and non-discriminatory reasons, but not in response to protected activity. Review the timing and your documentation first.
Leaving access open. Accounts, door codes and shared passwords left active after the meeting are a risk nobody needs.
Doing it by text or in public. A private meeting, with the letter in hand, is more respectful and gives you a clear record.

Rules that matter in your state

Final paycheck after a terminationChoose your stateRules with official sources

Choose your state above to see the rule we have verified, or check it with your state labor office.

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Payout of unused vacation or PTOChoose your stateRules with official sources

Choose your state above to see the rule we have verified, or check it with your state labor office.

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Separation notice for unemploymentChoose your stateRules with official sources

Choose your state above to see the rule we have verified, or check it with your state labor office.

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Service lettersChoose your stateRules with official sources

Choose your state above to see the rule we have verified, or check it with your state labor office.

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Final paycheck after a termination. When wages are due after you let someone go.
Payout of unused vacation or PTO. Whether accrued vacation has to be paid out at the end.
Separation notice for unemployment. Whether you have to give the employee a notice about unemployment benefits.
Service letters. Whether the employee can ask for a letter stating the reason for separation.

Every state's rule, side by side, is in the state rulebooks.

Questions people ask

When is the final paycheck due after you fire someone?

It depends on the state. The U.S. Department of Labor says employers are not required by federal law to give former employees their final paycheck immediately, and that some states may require immediate payment. Pick your state on this page to see the rule we have verified, with its source.

Can you fire an employee for poor performance?

In most states, employment is at will by default, with exceptions that vary by state, and firing someone is off-limits when the real reason is discriminatory or retaliatory, as the EEOC explains. A documented performance process makes the reason easier to show.

What should you say when firing someone?

State the decision in the first minute, give a short reason that matches the file, explain final pay, benefits and property, answer questions about next steps, and do not debate the decision.

Do you have to give a termination letter?

There is no general federal requirement, but some states require a written notice of separation or a service letter on request. Pick your state on this page to see what we have verified.

Can a fired employee collect unemployment?

Eligibility is decided by the state, not the employer. The Department of Labor explains that each state runs its own program and generally covers workers unemployed through no fault of their own.

What happens to the employee's health insurance?

If you have a group health plan, the employee may be able to continue coverage for a limited period. The Department of Labor's COBRA page explains who is covered and the notices involved.

Sources (6)

How to fire an employee in your state

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Steps

Questions people ask

Where this goes next