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- Stealth Firing, A SMART Employee Plan, Overtime Pay Redefined - Jan 20, 2025
Stealth Firing, A SMART Employee Plan, Overtime Pay Redefined - Jan 20, 2025
INSIDE: A detrimental workplace trend, SCOTUS overtime ruling, meaningful employee growth, plus more HR wisdom and the headlines that matter.
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Happy MLK Day, HR Heroes! As we usher in another Trump era with the upcoming inauguration, there’s another transition happening in workplaces: stealth firing. Is it a quiet revolution or a risky move? Let’s unpack how this trend could shake up your HR playbook…
On the agenda:
😨 Stealth Firing: A detrimental workplace trend.
🧠 A SMART Employee Plan: Meaningful growth with this bundle.
🕙 Overtime Pay Redefined: SCOTUS ruling favors employers.
SPOTLIGHT
The Ethics of 'Stealth Firing': Discipline vs. Fairness in HR
Reasons to Fire an Employee: Guide
Have you heard of stealth firing? This controversial practice involves terminating employees for just minor policy violations — such as tardiness or missing small deadlines — often without clear warnings.
While some may argue it enforces discipline and standards without causing a huge fuss, it raises significant ethical and legal concerns, making it a controversial topic for HR professionals…
📈 The Reports: In recent months, several major employers have been reported to engage in "stealth firing". For instance, companies like Amazon, Meta, and EY have been linked to such practices, often targeting minor infractions, which may be indicative of attempts to avert larger, more visible layoffs. Additionally, some companies have implemented stringent return-to-office mandates and harsher reviews as subtle methods to reduce staff without public layoffs.
🚩 The Risks: Stealth firing erodes trust. Employees who are blindsided by unclear reasons for dismissal often feel betrayed, which can damage workplace morale and lead to increased turnover. On the legal side, inconsistent enforcement of policies opens organizations up to potential discrimination disputes. The cultural impact is just as severe — firings perceived as arbitrary foster fear instead of collaboration, undermining a growth-oriented workplace.
💡 How HR Can Lead Fairly: HR leaders can navigate these challenges by prioritizing transparency, fairness and open communication. Establish clear policies, address performance issues openly, and document interactions consistently to maintain equity and compliance. A coaching-first approach — offering support and opportunities for improvement — can also prevent unnecessary terminations while strengthening employee relationships.
Curious about managing terminations ethically? Read these actionable tips:
MONDAY’S STEAL
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Valid until January 22, midnight.
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NEWS THAT MATTERS
 | US Supreme Court ruling will boost companies’ ability to defeat disputes they wrongly exempted workers from federal overtime pay, putting them on equal footing. [Bloomberg] |
One trend making waves which seems to have escaped the attention of the global consultancies and vast predictions for 2025: the failure to turn up at work. [Personnel Today]
The week before the Biden administration sunsets, DOJ and FTC issued guidance around a number of key issues, including noncompete agreements and training reimbursement. [HR Dive]
In 2025, work will change as ‘superworkers’ use AI to work smarter and faster. Companies must train employees, redesign roles, and upgrade HR systems to stay ahead. [Human Resources Online]
BREAKROOM
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Created with care by the HRAddict team.