On Firing, by John Cataneo
Info
Author
John Cataneo
Published
August 13, 2009
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In April 2008, my article "On Hiring" was
published on HeatingHelp.com and circulated in a weekly email letter to
industry professionals. In it, I urge contractors to take advantage of the
sudden surge of available labor. I cite the diminished prospects of working on
Wall Street and dwindling jobs in the finance sector as possible reasons for
the renewed interest in careers in the trades among our country's young job
seekers.
Hindsight being 20/20, what I didn’t understand at the time
was that it was a sign of things to come: that most of us were about to fall
victim to an economy near collapse and that lean times were just around the
corner.
So now, after a quiet spring and summer, as we head into
fall many employers find ourselves top heavy with employees we can’t afford to
pay and mounting labor expenses that just keep on coming.
Now what?
From talking to our professional peers over the last few
months, it is evident that lay-offs are happening at an unprecedented rate.
Many of us have tough decisions to make regarding who stays and who goes and,
if you’re like me, you’ve taken pride in your hires: you’ve done the background
checks and put these guys to the test in the field. You’ve got some employees
that cost the company more than others and some who are uniquely qualified for
certain profitable or otherwise necessary tasks.
I can’t tell you who stays and who goes. It has everything
to do with what kind of company you’re running. For example: if you’re a
plumbing-and-heating contracting firm, you have a wide range of skills to
cover. So, if your A-team’s boiler installations are 100% up to your standards,
that’s a wonderful feeling. Perhaps you’ve taught them well or did a good job
of being the kind of employer that attracts such talented labor from another
place. Those are what you’d normally call “keepers.”
But, if the mechanics whose boiler installs are only 90% up
to your standards are better and faster at piping in a bathroom, they may be a
more valuable total skill set for you right now. Then maybe those are the
“keepers”.
Am I suggesting you should lay off and risk loosing forever
the guys who pipe in those beautiful boilers for you? The ones that you
photograph and display in your advertising? How could you? Well, it’s called a
business decision: Tough times. Desperate measures.
No one wants to fire anyone they’ve hired because, in part,
it reflects a failure somewhere: failure to obtain the work to keep the
employee productive, failure to train properly, failure to screen and hire
responsibly, etc. But it’s happening more than ever and sometimes for reasons
we’re just not used to dealing with.
I once fired someone for taking a company vehicle without
permission. That was an easy business decision.
Here’s the transcript to the push-to-talk conversation:
Me: “Do you have my van out somewhere? You should have
returned from that job an hour ago and it’s not at the lot.”
Employee: “Um, yeah, I got lost and traffic was a mess. I’m
right nearby on Broadway”
Me: “Oh good. Near the intersection of
Employee: “Yeah,
Me: “Tell me something. There’s a furniture store on the
corner at that intersection. On the opposite corner there’s a restaurant. Tell
me the name of either of those places since you’re sitting there in traffic
with my van.”
Employee: “Oh I can’t really see the names, we’re moving a
little now.”
Me: “Ok, you’re moving now? Tell you what. Look out the
window. Tell me the name of ANY store or restaurant you see or pass so I can
call 411 for the address and verify we’re not someplace we shouldn’t be.”
Employee: “You know what, I’m sorry, John. I stopped at my
uncle’s house for a minute after the job. I’ll be at the lot as quickly as I
can.”
Evidently he was moonlighting with my van and tools.
What I didn’t tell the first-week employee was that the only
reason I checked the lot was because someone called the number on the side of
the van to say it was double-parked and blocking traffic in another part of
town.
This was the first incident to inspire the eventual vehicle
tracking system purchase.
More recently, I fired someone for being repeatedly late. He
was a talented helper who had a future in this business but could not get to
work on time. His mechanic would sit and wait, on my dime, for him to show up
while scheduled first-stop customers grew impatient and called my office to
complain.
You’re out, kid.
I fired another guy who took advantage of my being too busy
to follow up with checking his prior employment history. He had all the right
terminology on his resume and I took it at face value because he was a current
employee’s referral. But when I got him out in the field, he was obviously
trying to hide the fact that he was clueless and embarrassed. I could almost
feel bad for the guy except he demanded a top-dollar salary that I gave him
when my busy shop’s back was against the wall. There were other reasons, but
some guys are just bona fide con artists and, being human ourselves, sometimes
we find out the hard way.
These are my stories of the “easy fires.” If you’re in this
business, you’ve got some too. They’re the necessary firings that I’m convinced
all businesses must go through. Sorting through the right people for your
particular needs is part of the business process and I for one have never found
it to be easy. We take a risk when we hire someone who walks through the door
with a resume that we have to read through, believe, verify and then give
access to our vehicles, stock and tools, and then place in our clients’ hands.
For me, some of those people simply did not work out or sometimes it was
mutually agreed that this was not the right shop for them. Most went away
quietly. Some, not so much (I’ve filed two police reports and replaced two
windows in the past 12 months that I’m sure were broken by the same ex-helper).
Releasing some people from employment can bring a welcome
relief from whatever their baggage brought to the company. So there’s another
risk: I’ve gotten calls from ex-helper’s parents demanding to know why their
son was fired. I’ve never had any trouble explaining my side of the story to an
adult, but it’s an awkward and uncomfortable conversation: “You fired my son
for no reason; he says he didn’t do anything!”
“Ma’am, your son presented himself as a mechanic when he
answered my ad, but is simply not qualified to be left alone on a job. It would
be negligent of me to have him continue in this position working with cutting
tools and torches. He is free to reapply when we place an ad for helpers or
junior mechanics. I wish him luck and thank you for understanding.”
Even though sometimes firing someone is easy, other times we
may find we’re firing or laying off good people in some cases: people with
young kids and new mortgages, people who have shown up every day and made money
for the company. People you trust. People you like. These are the more
difficult fires.
In these cases, all we can offer is the reassurance that
their being let go was not something they did or didn’t do. It’s simply a
business decision that was carefully thought about and considered to be a
necessary step in keeping the business afloat during an unprecedented difficult
business climate.
Here’s my advice for dealing with these situations. If it is
warranted, you may consider releasing these employees with a sensible severance
check or at the very least, a letter of recommendation to present at a future
interview. Also, there’s no need to burn bridges. The labor pool of any
community in this industry is often small and your paths may cross again.
Regardless of the reason why you’re firing someone, it’s never easy. All you can do is make, what you believe to be, the best decisions for your company at a particular point in time. If you hold each employee up to the same standards of behavior, skill and value to the company in both good and bad times, it will make the easy, and the difficult, fires, easier to manage.



