The hiring of a new candidate is an exciting prospect that can help an overseas venture to prosper and new candidates to thrive.

But if not executed correctly from the outset, a good candidate with the right skills, attitude and motivation could bring unforeseen consequences should a termination turn into a dispute because the process was not followed correctly.

Here’s how to become prudent when it comes to avoiding contentious HR issues and potential claims for wrongful dismissal.

Prepare in advance

Planning for the end of an employment relationship has to start at the beginning. At a minimum, the employment contract arrangements have to be specific with local laws being adhered to and clearly outlined. Next, follow a correct Employee Performance Management protocol. Give your employee every chance to succeed in their role and provide clarity. If things go off track then document the process and communication you have had to bring things back into line. Ultimately, you want things to work out for all parties.

Be clear

When terminating an employee at any level, state the reason or justification that led to the termination clearly, with evidence of the reasoning in writing. With or without cause termination is not always clear cut.

Some countries have strict termination rules so it’s imperative to familiarise yourself with those at the outset.

As a rule of thumb, stick to clear, truthful and conclusive reasons to avoid any come back at a later stage. “Settlements” are common when issues arise but the secret is to avoid arriving at this outcome by being prudent from the outset. Sounds simple, and it is, when you work with a Global PEO partner that manage these situations regularly across the world.

Notice periods

These are not all the same and they are your best friend to avoid settlement costs. Post notice period, you are at the mercy of local labour courts. In many countries this period is a time for consultation with the employee. Even if the relationship has broken down, this is the law!

More information is available at the Local Compliance section of our Guide to Global Employment so please download this or contact us for more information.


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