Article: Can you fire an employee over ‘culture fit’ issues?

Employee Engagement

Can you fire an employee over ‘culture fit’ issues?

Hiring a culture fit employee is important, but companies should do so with an open mind. Here's why.
Can you fire an employee over ‘culture fit’ issues?

Hiring for culture fit is one thing. Firing because of it, however, is another.

And most of the time, hiring managers confronted with the choice question themselves if culture fit is a valid and legitimate reason for termination.

A positive culture has become a primary driver of retention and productivity in the modern workplace. A 2024 study by SHRM found that 70% of the companies it surveyed say that culture is the number one reason why they never struggled with retaining their employees.

But the same study found that only 9% of those organisations deploy culture fit assessments when hiring. This often leads to a cultural mismatch in expectations when the new hire is fully onboarded.

And because culture couldn’t be forced into people, HR leaders would find themselves struggling to get the buy-in of culturally unfit hires. Some would mull if they can fire this employee who may have already started to disturb their established dynamics.

Read More: Creating a culture of recognition and appreciation

What does a good ‘culture fit’ look like?

Studies have consistently shown that organisations with strong cultures outperform their competitors in key areas like employee engagement, productivity, and innovation.

But what exactly constitutes a “good” culture fit? Is it just about finding people with likeable or similar interests with the majority of an organisation’s employees? Many hiring managers would think so. But it’s often deeper than that.

True culture fit encompasses a deeper alignment with the company's values, mission, and work styles. It’s about finding individuals who naturally gravitate towards the company's way of doing things and are motivated by its purpose.

For instance, a fast-paced startup that values risk-taking and innovation might thrive with employees who are adaptable, self-driven, open to change, and comfortable with a certain level of ambiguity.

On the other hand, a more established organisation that prioritises stability and collaboration might seek individuals who are methodical, team-oriented, and value clear communication.

5 signs that a candidate is a good culture fit

Finding a culture fit employee is harder than it sounds. Traditional interviews and resumes often provide limited insights into a candidate's true personality and how they would interact with the existing team.

As a result, many organisations rely on gut feelings and subjective impressions, which can lead to unconscious biases and missed opportunities. But there are aspects of an applicant’s personality and outlook that can give you signs that their fit for your company.

Living with the same values

Has the candidate been living and working with the same values that your organisation has? If so, ask the applicant to give scenarios where he or she has applied these values in real life.

Compatible work styles

If the applicant prefers a certain work style or environment that your company has then it’s a positive sign that he or she may be a good culture fit. Ask the applicant why he prefers that style so you can assess if you share the same reasons.

High interest and probing questions

If the applicant probes about the company culture, team dynamics, and challenges, it is likely that he or she is aligned with your organisation’s vision, especially when it sparks a lot of enthusiasm even in the interview stage.

Self-awareness

An applicant that can articulate their strengths and weaknesses will most likely know how they would navigate potential challenges within the company’s culture. So even if he or she is not yet a perfect fit, you know that the candidate is open and adaptable.

Read More: Fostering a sense of belonging among employees

The fate of culturally unfit hires: Can you actually fire them?

So, what happens when a new hire, despite the best intentions during the recruitment process, proves to be a cultural misfit? Do employers have the right to terminate their employment based on this perceived incompatibility?

The answer, as is often the case in legal matters, is nuanced and complex.

In many jurisdictions, particularly those that uphold the principle of at-will employment, employers generally have the latitude to terminate employees for any reason that is not illegal. This seemingly broad discretion, however, comes with significant caveats.

1) Terminating an employee solely based on 'culture fit' can be a risky proposition

If the employee belongs to a protected class – based on race, gender, age, religion, disability, or other legally recognised characteristics – the termination could potentially give rise to a discrimination claim.

To safeguard against such allegations, employers must be able to demonstrate that the decision was based on objective criteria and performance-related factors, not subjective judgements about personality or cultural alignment.

2) Even in at-will employment scenarios, employers should be prepared to justify their decision if challenged

Simply stating that an employee "wasn't a good fit" is unlikely to suffice. Detailed documentation of performance issues, behavioural problems, or specific instances where the employee's actions negatively impacted the workplace environment is crucial in making a strong case for termination.

3) Any termination process must adhere to company policies and applicable labour laws

Providing clear and timely feedback to the employee, offering opportunities for improvement, and following proper termination procedures are essential steps in mitigating legal risks and maintaining a fair and transparent workplace.

In essence, while terminating an employee for cultural mismatch is not inherently illegal, it is a decision that should be approached with utmost caution and due diligence.

Careful consideration of the legal landscape, clear communication, and a focus on objective performance criteria are vital to ensure a just and defensible outcome for both the employer and the employee.

Why fire? ‘Culture add’ as an alternative route

While “culture fit” has long been a guiding principle in hiring, a more progressive approach is gaining traction: the concept of “culture add.”

Culture add refers to the concept of hiring individuals who not only align with a company’s core values but also bring fresh perspectives, unique skills, and diverse experiences to the existing workplace culture.

Recognising that a perfectly homogenous culture can stifle innovation and growth, companies are increasingly seeking candidates who not only align with core values but also bring fresh perspectives and unique strengths to the table.

Culture add focuses on the potential of new hires to enhance and evolve the existing culture, rather than simply mirroring it.

It encourages diversity of thought, experience, and background, recognising that a mix of personalities and approaches can lead to greater creativity, adaptability, and problem-solving capabilities.

Read More: How to embrace age diversity for workplace success

For instance, an employee who challenges the status quo with innovative ideas or introduces a new skill set can spark a wave of positive change within the organisation. Even someone with a different communication style or work approach can enrich the team dynamics by offering alternative perspectives and fostering a more inclusive environment.

Embracing culture add doesn't mean disregarding core values or compromising on fundamental aspects of the company culture. It's about striking a balance between maintaining a cohesive and aligned workforce while remaining open to the transformative power of diverse perspectives.

By prioritising culture add, organisations can create a more dynamic and vibrant workplace, one that is not only attractive to top talent but also primed for innovation and success in an ever-changing world.

Hiring with an open mind

Yes, hiring a culture fit employee is important. But companies should always do so with an open mind. There will be times when an employee comes along, bringing a different attitude, idea, or culture that can be helpful to an organisation navigating an ever-changing market.

Culture is never static. It’s a living, breathing idea that changes as people come and go. The burden is on the human resource leaders to keep an organisation’s culture, no matter what it looks like, a source of value and productivity.

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Topics: Employee Engagement, Culture, #EmployeeExperience

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