Fired? Don’t Sign Anything!

The worst time to ask your partner for the location of the home fire extinguisher is when you need it. The best time to ask is when you don't need it immediately. That's the guiding principle behind the book Don’t Sign Anything: a guide for the day you’re laid off., by two experts on change management.

“Thanks, I’ll Get Back to You.”

The authors, Paul Levy, former CEO of a world-class teaching hospital and manager of the multi-billion dollar clean-up of Boston Harbor, and Farzana Mohamed, organizational consultant on change management and employee engagement, presume that one day you will be called into your boss' office, a human resources officer will be present, and the boss will begin by saying, “This is not going to be an easy meeting…”

At the conclusion, you will be given a termination agreement that is described as “generous” and “beyond standard corporate policy.” You may be asked to sign the agreement.

Levy and Mohamed advise you to respond, “Thanks, I’ll get back to you.”

BATNA: Know Yours and Theirs

The authors want you to know your BATNA—best alternative to a negotiated agreement. What are the risks and benefits if you refuse to sign the agreement? The idea is to consider the most advantageous action you can take. At the same time, it's necessary to consider the company’s BATNA.

One potential is a lawsuit filed by your attorney against the company. Such lawsuits are costly and create negative publicity. A lawsuit gives your attorney access to corporate documents and emails that could be embarrassing or financially damaging beyond your lawsuit. If other fired employees learn that you have sued, they might be encouraged to do the same. In other words, you may not be sensitive to the high value the company places on your smooth and quiet departure.

Seek Employment Legal Counsel

The authors believe that any employee earning $50,000 or more per year should consider hiring an attorney to advise them. For the employee, being fired is usually an emotionally charged event. For attorneys, it is simply business. It does not mean that the attorney will necessarily do the negotiations for you, although that is sometimes the best course of action. Sometimes, attorneys work behind the scenes to help you negotiate with the company.

It would be wisest to hire an attorney who specializes in employment law in your state or the state where the employment agreement is in force. Avoid attorneys who say they specialize in a variety of areas; you want a specialist.

Ask friends for recommendations. Go to your Artificial Intelligence system of choice and type: “Name the 15 most honored employment attorneys in (name of state).

Some employment attorneys represent corporations only. They will not take your case but they can refer you to colleagues. Solo practitioners or attorneys in small firms will charge less than attorneys in large firms. It is good, however, if the attorney you select has worked for a large firm in the past, since that attorney will be negotiating with a corporate attorney who probably also has had large-law-firm experience. They will likely see each other as peers.

Up for Negotiation

There are a number of issues that can be negotiated: cash amount, date of last paycheck, non-compete terms, non-solicitation tsrms, non-disparagement, and health insurance.

Outplacement

“Working with an outplacement firm is one of the more valuable forms of help a displaced worker can get," Levy and Mohamed contend. But who gets to choose the firm is important.

People who are fired often feel that they have lost control over their future. Passively agreeing to work with a career coach selected by the company that terminated the employee is not going to foster a positive sense of control!

Within the financial limits of the severance agreement, we recommend that the employee have the right to select the outplacement firm and select the coach to work with. This is a good first step towards regaining control.

Career Essential Reads

The Case for Love at Work

The Case for Taking the Easy Path

Some outplacement firms are in the training business: They offer time-limited support and focus on the details of job search, such as resumé development, LinkedIn profile, and networking. Other firms are more in the campaign-management business: They stay with you until you land and then help you succeed in the new role.

If it has been more than five years since your last job search campaign, you need to know that the rules of job search have changed because of AI. And you are now five years older. Don’t assume that what worked for you in the past will work for you today.

Summary and Conclusions

Don’t Sign Anything is a useful book to have on your shelf when the time comes that you need to understand its contents. And there may be times in the course of your career when it's wise to consult the book.