Summary Dismissal

What is a summary dismissal of employment?

A summary dismissal of employment is the immediate termination of an employee due to their behavior, the basis of which is gross misconduct. (It can also be called an instant dismissal). With a summary dismissal, the employee can be terminated without notice and payment in lieu of notice. Because of this, summary dismissals can be more delicate than other offboarding situations.

Is a summary dismissal serious?

Yes, a summary dismissal is serious. It’s based on gross misconduct. Unlike other forms of dismissal, it’s immediate and doesn’t require notice. Summary dismissals are usually only used as a last resort.

It’s hard to say how many of the 5.3 million company separations are summary dismissals. But with 1.6 million layoffs and discharges as of January 2025—though February 2025 has seen a decrease in year on year turnover by 20%—it’s something your company will undoubtedly have to handle.

It’s important to outline the possible reasons for summary dismissal in the employee handbook and employment contracts. If these steps aren't taken, an employee could argue that they had no reason to believe their actions would result in termination.

What are the consequences of a summary dismissal?

With a summary dismissal, there are severe consequences for the employee, as it’s not a matter to take lightly. These include:

• Termination of employment. Termination of employment is just like it sounds—it’s the end of an employee’s contract with their employer, whether by resignation, redundancy, contract expiry, or in this instance—summary dismissal.
• Loss of any employment benefits. Employment benefits at risk of forfeiture include holiday pay, bonuses, commissions, and even health care or other benefits.
• Removal of notice pay. When you give your notice into a job, you may receive notice pay. If you are dismissed, your employer may choose to lawfully deny you your severance.

Most companies will serve you a termination letter, which is a type of formal notice.

What are fair reasons for a summary dismissal?

There are many fair and legal reasons for an employee’s summary dismissal. It’s important to recognize these reasons to ensure you’re firing an employee the right way. They include, but aren't limited to:

• Attending work while under the influence of alcohol, drugs, or other substances
• Seriously disregarding health and safety regulations
• Performing acts of discrimination, harassment, or violence against another employee, a client, or a customer
• Damaging company property
• Stealing sensitive corporate, client, or customer information or data
• Starting a competing business
• Being dishonest or committing theft, bribery, fraud, or sabotage for or against the company
• Substantial insubordination

Other behaviors that  may  constitute a fair reason for summary dismissal include, but aren't limited to:

• Disregarding software security protocols
• Tarnishing the reputation of the employer

What are the grounds for instant dismissal?

Instant dismissal is just another term for summary dismissal or summary dismissal of

employment. Therefore, the same gross misconduct criteria apply.

When is summary dismissal unlawful?

When a summary dismissal isn't triggered by gross misconduct, it may be unlawful. Types of behaviors that are unlikely to be considered lawful for summary dismissal include:

• Regularly showing up to work late
• Having too many absences
• Not taking care of personal hygiene needs
• Having a distracting personal appearance
• Performing substandard work

There are many ways to approach these sorts of issues before jumping to dismissal and risking wrongful termination.

If your employee’s performance is in question, you can implement a performance improvement plan (PIP). For issues such as dress code, signal team members to your policies or have an honest conversation around absences if those are causing a problem. If employee misconduct is a larger issue, you may be able to implement disciplinary actions first.

In the event of wrongful termination, there are multiple paths an employee could take—such as filing a report to the Equal Employment Opportunity Commission. That’s why it’s important to get things right the first time to protect your employees and your company.

For more information on wrongful termination, you can visit the usa.gov website.

What are the procedures for a summary dismissal?

While firing someone “on the spot” is often depicted in media, summary dismissal isn’t quite so  instant—and it’s not a decision that should be executed lightly. There are procedures for conducting a summary dismissal that should be followed to make it fair.

Here are the steps for proceeding with a summary dismissal:

• State your intention to issue a summary dismissal to a specific employee
• Gather evidence of gross misconduct
• Get statements from any witnesses
• Ask the employee to attend a disciplinary hearing. Be sure an HR rep and/or union official is also present
• Allow the employee to give a rebuttal
• Make a final decision on whether the employee should be immediately terminated
• Prepare and give a formal letter of termination that confirms the summary dismissal. It should include the reason for the termination, prior warnings and disciplinary actions (if any), the legal basis of gross misconduct, the termination date, and the right to appeal.

What risks are associated with summary dismissals?

The two biggest concerns include  data security issues  for both the employer and the dismissed employee, as well as an unfair or wrongful dismissal claim against the employer.

What are the different types of dismissals?

As an HR professional, you need to know the difference between different types of dismissals. If you’re going to fire an employee, it’s important to do it correctly. Here are some of the key dismissal terms to understand:

Fair dismissal

Fair dismissal can be for reasons that relate to redundancy, qualifications, capability, or conduct. Justifiable reasons for dismissal could be repeated poor performance or insubordination, and procedures might include implementing a performance plan to assist the employee first.

Unfair dismissal

Unfair dismissal includes terminations that violate an employee’s rights, such as when a fair reason for being dismissed hasn't been given, especially if there have been no prior warnings or disciplinary actions against the employee.

Employees may be able to challenge this dismissal, which could result in job reinstatement and potentially owed compensation.

Constructive dismissal

If an employee wasn't officially dismissed but felt “pushed out” by their employer, then they may be able to claim constructive dismissal. Examples include being bullied or harassed, not being given agreed-upon hours, or discontinuation of pay—essentially forcing a resignation through intolerable or unreasonable actions. Workplace retaliation could be included here, too.

Wrongful dismissal

Wrongful dismissal may sound like unfair dismissal—however, the main difference is that wrongful dismissal is when an employee’s dismissal breaches their contract. Examples of wrongful dismissal could be terminating a fixed-term contract before the end date or giving an employee an incorrect notice period.

Voluntary redundancy

Voluntary redundancy is when an employee accepts the request of an employer for the employee to leave their job, usually with a financial incentive. In periods of redundancy, this can help to save jobs for employees who want to remain and can save the employee from waiting to find out if they are being cut.

Dismissal vs. summary dismissal: What's the difference?

A  dismissal  gives an employee statutory minimum notice—one week for each year of employment, up to twelve. Dismissal also calls for an employer to provide payment in lieu of a notice. A  summary dismissal  is effective immediately and doesn’t have these caveats.