Hiring and Firing, Cobblers Style

This morning at the Cobblers’ Collective meeting we talked about hiring and firing employees and contractors.

First, you have to know if you’re hiring a contractor or an employee. Thankfully the IRS has a handy guide that can be found right here on their website.

Keep in mind too that California just amended its state laws, so if you’re hiring someone from CA, check to make sure you’re in compliance with the new legislation.

Once you know if you have an employee or contractor, the group consensus is that there should be some written documentation in place to help outline the scope of the job and how compensation works. If they’re an employee, you should have an employee handbook that gets reviewed and read - and a good job description. Both help outline the shape of the gig and keep everyone’s expectations in line. One Cobbler even goes so far as to have an operations manual so that the job is done the same way each and every time.

Employees and contractors who are interfacing with people outside of your office while representing you should be familiar with your company’s brand. They don’t have to “drink the Koolaid” but they should know the expectations for exterior communications, how they present themselves, and even (if they’re an employee) how they’re expected to dress.

In general, the Cobblers felt it might be good to talk to your lawyer (Drew Larsen is our favorite local go-to) to have a Non-Disclosure Agreement in place if the employee or contractor might be handling sensitive or proprietary information. Honestly, it wouldn’t hurt to have your lawyer look over anything you think of as a contract no matter who it’s between.

When it came to finding talent, we mostly went with word of mouth. Finding someone who’s a good fit can be tricky, and getting a referral from someone who knows you and your company will keep you from having to screen too many resumes out.

Once you have the employee, regular reviews lead to a happy and productive workplace. And reviews go both ways!

If you’ve come to the conclusion that it’s time to terminate a relationship - first go over the contract you have in place. Is there a termination/cancelation clause if they’re a contractor, what are your local laws if they’re an employee. When you do let them go, revoke their access to company property and information at the same time. Most people are good, but in the heat of the moment, it’s possible the terminated person could do some damage out of anger or hurt.

Ultimately when it comes time to fire someone - do it. Don’t beat around the bush, make sure it’s written down, and don’t string them along. Remember back in High School that couple? She didn’t want to hurt his feelings, so she thought she broke up with him, but he thought they were still together? Do be that girl. A clean break is the best break.

We’d love to hear about your experiences with employees and contractors. Feel free to drop by any Thursday morning at 8:15 A.M. at Work Nimbly for our weekly meeting.

Gretchen Bedell