Make sure you read the employee's Contract of employment to avoid a breach of any terms in the agreement and any company policies and procedures (eg disciplinary policy). Check the agreed notice period for the employee to ensure you give enough notice before you dismiss them. If you want the employer to take garden leave or receive a payment in lieu of notice (PILON) check to see whether this is allowed in the employment contract. If there are no provisions relating to garden leave or PILONs in the contract of employment then you won't be able to enforce them. Doing so will be a breach of contract and can result in claims to the Employment Tribunal. If you want an employee to take garden leave or pay them in lieu of notice, you can do so if both you and the employee mutually agree to such an arrangement.
Dismissing an employee can be complicated particularly if there have been misconduct or performance issues. Make sure you follow the correct procedure and avoid the Employment Tribunal.
Choose the correct letter for the situation. If an employee does not qualify for unfair dismissal rights a Termination of employment letter is usually satisfactory. If they do qualify for unfair dismissal rights then make sure you follow the right procedure before dismissing them. This will usually involve establishing a potentially fair reason for dismissal, for example, misconduct, lack of capability or qualifications or a redundancy situation. Consider using a Dismissal letter for misconduct when you want to dismiss an employee for misconduct or a Dismissal letter for poor performance once you've completed a fair and objective process. If at any time an employee commits an act of gross misconduct, you can consider using a Summary dismissal letter to dismiss that employee without notice. Consider using a Redundancy dismissal letter when you want to dismiss employees by reason of redundancy, and once the correct process has been followed. It may sometimes be necessary to use a Settlement agreement to avoid litigation between an employer and employee.