Multistate Professional Responsibility Exam Practice Question
A business owner seeks your advice on terminating an employee who has been underperforming for several months despite previous warnings. The owner wants to proceed with the termination while minimizing the risk of a wrongful termination lawsuit. What should you recommend?
Advise the client to document the employee's performance issues and follow the company's termination procedures.
Propose terminating the employee after a verbal warning has been issued for performance issues.
Offer the employee a resignation package as an alternative to formal termination.
Explain to the client that without a written employment contract, termination can proceed without additional procedures.
The correct answer involves advising the client to document the employee's performance issues and follow company policies, which provides a legitimate basis for termination and reduces the risk of wrongful termination claims. The other options either omit essential steps, such as proper documentation and adherence to procedures, or suggest incomplete strategies that do not adequately protect the client from potential legal risks.
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What should be included in the documentation for performance issues?
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What are the company's termination procedures?
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What are the risks of wrongful termination lawsuits?