A company losing an employee is one tough pill to swallow for most companies. There are many reasons as to why a company would terminate an employee. It could be simply just the end of their contract (also known as “endo” in Filipino slang), or the employee got fired. There are many reasons why a company would fire an employee, it could be because poor work performance, breach of contract, or an administrative or criminal case.

Depending on the case, firing an employee requires thorough evaluation, especially for long time employees. Firing long time employees can be different cases from firing an employee who was worked with a company for a short period of time. This is why there is a positive and negative effect whenever this happens. Here is a list of pros and cons of firing a long time employee.

Pros

More room for younger and better employees

When firing a long time employee, this allows a company to hire a younger and more talented employee. Hiring a younger employee may feel like you’re starting from scratch at times, but having the youth means there is a lot of potential to develop the employee into someone highly skilled and talented, and simply better than the previous employee.

Changing the office culture

Since most long time employees are now at more executive positions in the company, they have the ability to completely influence office culture. That is a good thing or a bad thing depending on the circumstances. If the employee has a positive influence in the office culture, then there is less reason for him/her to get fired. But in cases where the office culture that the employee influenced is an unproductive and negative one, then firing that employee should be no cause for concern.

Preventing employee burnout

Long time employees tend to do their job well, and enjoy what they do. But there would come a time that these employees would simply be burned out and tired from years of work. To prevent burn out in affecting the employee’s performance, it is best to decide on letting the employee go.

Cons

Questions about employee loyalty

Firing a long time employee is not only difficult, but it can affect the company in a big way. When you fire someone who has worked for many years in the company, some of the other employees would question the value of employee loyalty. They would feel insecure because they know that even the employees who stay the longest can be removed from the company.

Big loss in employee experience

Although finding a suitable replacement for a long time employee is possible, it is a long and difficult process to undertake. Losing someone with years of experience under their belt will definitely be a big blow to the company. The process of training the replacement would take years, and would cost the company some money for a few years.

Questions about company stability and integrity

If the employee was fired due to an administrative or criminal case, then the company would be bought into question on why that employee was hired in the first place. Some employees would question the motive on why the case happened, and point fingers at the company. With these in mind, firing a long time employee due to an administrative or criminal case would put that company under a bad light.

Firing a long time employee is a difficult decision that must be taken into heavy consideration. Its impact can really affect the company in many ways, and would bring about a lot of questions.