How To Protect Your Business From Costly Employee Lawsuits | Ep 54 | You've Got People Problems

This episode has a strong angle around employee terminations, performance issues, legal risk, role clarity, and how treating employees well throughout their employment can actually help protect the business. I kept the timestamps condensed and based them directly on the transcript you provided.In this episode of You’ve Got People Problems, Melissa Ortiz sits down with employment law attorney Susan Hatmaker to discuss a challenge nearly every business owner eventually faces: what do you do when an employee relationship is no longer working?With more than 30 years of experience in employment law, Susan shares how business owners can reduce legal risk by addressing employee issues long before termination is on the table. From setting clear expectations and documenting performance issues to handling difficult conversations and creating a respectful separation, Mel and Susan explore why good leadership practices and preventative employment practices often go hand in hand.Their conversation also digs into an important reality: sometimes the employee isn’t actually the problem. Unclear expectations, poor onboarding, the wrong role, inconsistent accountability, or a lack of manager communication can all contribute to performance issues. Before assuming someone needs to go, leaders need to understand what is really getting in the way.In this episode, you’ll learn:• Why clear expectations are critical from onboarding through termination• What employers should consider before terminating an employee• How role clarity can prevent performance problems from becoming people problems• Why the way managers document and communicate performance issues matters• How to approach difficult conversations with an employee’s growth in mind• What severance agreements can accomplish during an employee separation• Why consistency and clearly enforced workplace policies matter• How leaders can distinguish unacceptable behavior from behavior they simply don’t like• Whether core value misalignment can support a termination decision• Why respectful offboarding can protect relationships, reputation, and the businessThis episode is a must-listen for business owners, managers, and leaders who want to handle employee performance issues more effectively, create clearer expectations, and approach difficult employment decisions with greater confidence and care.Timestamps:00:00 – Introduction and Susan Hatmaker’s employment law background02:30 – What to do when an employee relationship isn’t working03:45 – Why unclear expectations create performance problems07:25 – Handling serious policy and safety violations11:30 – Severance agreements and reducing legal risk15:20 – Performance conversations: coaching vs. documenting to terminate21:00 – When clearer expectations lead employees to self-select out24:15 – Setting boundaries and addressing unacceptable workplace behavior30:30 – Hiring, temp-to-hire, and addressing poor fits early33:25 – Can you terminate someone for not living your core values?35:30 – Deciding whether an employee is saveable or it’s time to separate38:45 – How to connect with Susan and final thoughtsConnect with Melissa Ortiz:LinkedIn:https://www.linkedin.com/in/melissa-ortiz-talent-optimization-expert/Learn more about Activate Human Capital Group:https://www.activatehcg.com/