However, an employee can be terminated if the supervisor has a valid case. The loss of a job frequently occurs because of circumstances beyond the control of the employee. As organizations respond to increasingly competitive environments, positions are eliminated or transformed to such a degree that their current incumbents are no longer equipped to handle them. As a result, supervisors are called upon to conduct termination . Layoff is involuntary employment termination initiated by the organization for non-disciplinary reasons.
Resignation is voluntary employment termination initiated by an employee.
The rise in wrongful termination suits is due, at least in part, to mismanagement of the termination process. When asked, many terminated employees report that they sued their former employer because of the way they were treated, rather than for any financial gain. When a terminated employee sues the organization, both parties lose. For the organization, the loss includes legal fees, time and energy of key personnel, internal morale, and external public relations. The terminated employee loses time and energy that could have been directed to the job search.