Terming an "Employee" without telling them?

I work for a family owned business that was established in 1961.  We have an "employee" that was one of the first employees with the company.  The reason I am putting employee in quotations is because he is listed as an employee in our system, but he doesn't recieve a paycheck or any company benefits.  Basically he just kinda shows up every couple weeks (when he wants to), hangs out, and reads the newspaper.  He doesn't clock in and out, doesn't recieve any type of compenstation from the company b/c he technically doesn't "work".  Would it be unlawful to terminate his"employment" and not tell him.  Basically, he would just continue to come in and hang out but he just wouldn't be on our books.  If someone could give me some insight, that would be very helpful.


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  • I don't deal a whole lot with HR items, but this sounds more like a company friend issue.

    I will say that if I were in your shoes, I'd have a talk on the side with him.  Don't describe it to him as being "terminated."  Instead, present it along the lines of, "It would merely help clear our books up."  Do tell him he is still welcome to come in like he already does.  Since he isn't receiving pay, benefits, or is even clocking in or out, let him know nothing will change.  I'm sure a friendly, assertive approach will avoid any type of confrontation.

    If he throws the line, "But I've been a part of this company since 1961!" simply say, "I understand!  You're still going to be a part of it, but we're just taking your name off the books."

    I'm awaiting TXHRGuy's input.  [:D]

  • [quote user="SPDSKTR"]

    I'm awaiting TXHRGuy's input.  [:D]


    Ask the owner why the guy's on the books.  Let him know that if the guy walks in and breaks his leg, it's a worker's comp issue.  If he does any work off the clock, it's a FLSA issue.  Of course, with friends, this is never an issue.  Until it's an issue.  Convince your boss this is not a good idea.  Then release the friend for job abandonment when he's 3 NCNS and let him know he's welcome to continue life as ever but you needed to clear your books.

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