Reading time: 3 – 5 minutes
“The company called me in after being on a three-day suspension. I thought I was being called back to work, instead my manager fired me. I was in shock.
My manager puts the termination paperwork in front of me and tells me I have to sign it to get my final paycheck. He did not give me a copy of it and I think I might have signed something that says I did something wrong when I believe I have not done anything wrong. What do I do?”
This situation arises when terminations come as a surprise to you. It does not matter if you are being terminated for cause or employment at will, you may feel like you are under stress or duress. All you want to do is to get as far away from this situation as possible and you are ready to sign anything just to get out of the room.
Then the reality of “oh what did I just do” sets in. So what are your options when you are in the middle of being terminated and the company is demanding you to sign off on some paperwork?
Take a deep breath and read the document.
- Is the document simply affirming that the company is firing you, letting you go, laying you off or asking you to say you quit?
- Does the letter demand that you give up some personal rights?
- How detailed is the letter – does it simply say you are being terminated on a specific day or does it state the reason for termination?
- Does the letter outline any special circumstances?
Be clear about what you are signing
If the termination letter is asking for a confession or admission of guilt or is stating you that you give up some employee rights, you can opt not to sign it.
For example, if the company wants you to say you quit and you are being laid off, are you still eligible for unemployment? Be sure to check your State Unemployment regulations.
Another major concern is giving up your employee rights to any benefits, monies due (bonus, stock, equity), EEOC and unlawful termination claims or any rights to sue in exchange for a financial settlement.
These types of termination arrangements are often referred to as separation agreements and should reviewed by an attorney or at the very least considered carefully before signing your consent.
Consider an alternative
If you refuse to sign your termination paperwork, your ex-employer will not be happy. Do you care? Maybe not, though it is always best to leave on good terms and there may be a win-win solution.
When you sign the termination papers, you can include the following phrase under your signature:
Signature acknowledges receipt only
By including this caveat, you leave little doubt about why you are signing the document. There is no admission of guilt or agreement on why the company is terminating your services.
Ask the company to make a copy of your termination paperwork for your records. The company is not obligated to do this (unless you are being asked to do a separation agreement), so if they say “no” do not be surprised. Remember though, if you do not ask, you will never receive what you want.
Get other facts
In most states, you are not required to sign a termination document – check your state’s regulations for additional information. There are companies who terminate people in many ways – by phone, fax or e-mail – all without signatures required.
Companies cannot withhold your final paycheck for not signing a termination notice. If they do, contact your local Department of Labor. Some states require employers to have the final paycheck at the time of termination.
Employees who are in a union or are under an employment agreement will have a defined process in their contract and should refer to it for the correct procedure.
Article by Lynn Dessert
Lynn Dessert is an executive coach and training expert on cognitive development and personal effectiveness - facilitating behavior change for individuals and teams. Clients consult her to design and deliver HBDI leadership development programs and career minded individuals engage her for personal development. Lynn is the author of Elephants at Work and owner of Leadership Breakthrough, Inc. specializing in Executive, Leadership and Career Development. Start your discovery process by contacting her at 585.249.5149 today.
Lynn has written 299 awesome articles for us at Elephants at Work
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{ 3 comments… read them below or add one }
This was really informative Lynn. I have seen many employees go through this process and just sign away without really reading any documentation or understand what they are signing. The end result was usually that they were not able to file for unemployment because of the nature of the termination. The employee was never able to fight it since the company had signed documentation to back them up.
This also brings up a good question – ‘Do they have to sign the termination letter?’ I never really thought of that as an option but I guess it really is.
I like the ‘Signature acknowledges receipt only’. This was another thing I didn’t realize. I will definitely share these tools with staff when I am approached with questions.
Thanks for the post!
Thanks Lynn,
This post sounds all to familiar. I experienced a similar situation, not knowing what to do, at time of downsizing. This post will save a lot of people some stress and frustration.
Most states allow employees to revoke their separation agreement by signature within 7-21 days (If remuneration is offered). Most juries will agree that employees are signing under mental duress. Many separating employees when being fired will write under their signature “Do not agree” etc.. This seems to be standard now. I agree that you should always be congenial and cordial no matter how the company is treating you, by doing so you will maintain your dignity, and hope fully gain their respect. When an employee either acts out verbally or becomes disruptive, most managers will feel like they made the right decision letting them go! It does the departing party no good.
Thanks Lynn for a great article, on a tough subject. You are always able to present a touchy subject in a positive way.
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