Eliminating VP Position

tonia · March 2007

Hello forum! I really need some guidance. We are a small company in Delaware, which is also an "at-will" state. We have elminated a VP of Operations position. Now, keep in mind the person in this position has been with the company for 18 years. Part of the job was VP and another part was marketing. The owners of the company had made the decision to elminate that job and are looking at outsourcing the marketing piece. We do have 2 other VP's in place and with us being so small, there is no need for another VP. This person has been in the VP slot for 2 years. Her employment file has no negativity and her evaluations are fine. It was a hard decision, but business related nonetheless. We did give her a month's severance and will not fight unemployment. She is threatening to sue the company. We did not elminate her position due to poor performance, or discriminate against her due to anything in regards to Title VII. It was a position that was not necessary any longer. This elimination happened very rapidly. Anything I should be concerned with? Comments and suggestions would be greatly appreciated!

ray a · March 2007

We have done the same thing in the past. In fact just a couple weeks ago, we eliminated the position of a mfg manager. It was termed, "Position Eliminated" and communicated that way. The director is assuming his responsibilities. What you did is perfectly legal. The only concern may be if you terminated a female over the age of 40 who happens to be a minority and the two VP's you kept are young white males. That could cause you to do some fast talking. But, as long as the two other VP's jobs remain the same, you can say with a straight face it was truly an eliminated position and she was let go because of the position, not due to any other reasons.

marc · March 2007

Some folks are fond of saying that there is a lawyer out there for everyone. Meaning that even if she does not have much of a case, a lawyer still might take it and come after the company.

Ray has given you some great insight, and I think you should be comforted that even if she goes ahead with some sort of wrongful termination suit, you are standing on solid ground if the facts are as you stated.

MLB · March 2007

Are there any known regulations for allowing these indivdulas to collect personal belongings from the occupied space? In the event a Management official does not know the termination is forthcoming and you do not want this indivdiual back on Company property after the termination, what is your usual procedure in allowing them to gather personal belongings?

MLB

marc · March 2007

[font size="1" color="#FF0000"]LAST EDITED ON 03-29-07 AT 12:19PM (CST)[/font][br][br]I don't think there are laws or regulations about this.

There are several factors to consider for this. I know some say we will send you your personal belongings. I think this exposes the companies to claims of missing things, damaged items, etc.

So I like to accompany them to their desk and allow them a few minutes to gather everything up. It is helpful if you can provide a box or two or some grocery bags for this purpose. It is also very embarrassing, so if you can time it so that most folks are not around, such as a lunch hour or at the end of the day.

I find it helpful if you have a checklist of the company property that needs to be turned it, such as keys, cell phones, etc. Also, notify IT as soon as possible so access to systems can be protected. I also like to have the final check ready.

No fun, good luck.

ray a · March 2007

When we let some directors go a few years ago, it was my job to escort them out. We had boxes ready for them to pack their belongings in. I stayed with them and helped them carry things to their car then collected badges, cell phones, etc, shook their hands and wished them good luck. Their computers were disabled by IT during the exit interview.

tonia · March 2007

Thanks for all the advice! Our company is small and I'm the only HR rep. Needless to say, she did not take the news well and made arrangements, via email, to collect her personal belongings. I did escort her to her old office, and watched over her and she turned things into me that were company property. She did not shake my hand and is very disgruntled. And you are right, no fun. Especially since she was my boss.

LarryC · March 2007

We terminated a Sales Manager a few years ago and she was so upset that she stormed out, crying, and said "just send my stuff to me".

So I got some boxes and very carefully and with the utmost respect" packed everything up and we had it delivered to her.

She actually called me and thanked me for the way her "stuff" arrived. She said she knew I had packed it up because she remembered how anal I am.

She's actually called me several times since to let me know how she's doing. She has a new job now and doing very well.

My experience has shown me that as people continue to think about their termination, and they will for the rest of their life, they focus on the "what" of it all short term and the "how" of it all long term. The little things you do out of care and respect will make a lasting impression which will be good for you and your company.

Ray, I know you've just gone through a series of these trials. What say you?

ray a · March 2007

As I read Tonia's post above the word respect came to mind. When doing this sort of thing, regardless of the level, treating the person with dignity is important. You can't try to argue with them or tell them you know how they feel. Quiet respect. Let them air their displeasure if they want, but maintain your composure. Dignity.

When I had to escort the directors several years ago, these were my peers, one of whom I had known for nearly 20 years. Only one was obstreperous - he refused any help and on the way out he threw his badge and cell phone at me. Others allowed me to assist them. It was humorous though, one guy grabbed the smaller box so I had to take the larger and heavier box. But, that same guy has kept in touch with me occasionally.