Employee termination could be a challenging task for managers. Not only it carries the risk of legal troubles but firing an employee could also disrupt the employee-management relationship, depending on how the employee takes the termination. Terminating an employee not only impacts the employee’s career but also his or her family life. Additionally, it also leaves an impact on the current employees. Employee termination puts so much at stake but under circumstances where termination is absolutely necessary, the managers need to consider a lot of things and deal with ethical dilemmas. Talking about legal issues, statistics suggest that majority of the wrongful termination lawsuits have been won by the former employee.