In most cases, the transition from hiring to onboarding an employee is straightforward. However, in some instances, employers may find themselves in a position where they must rescind a job offer. This is a difficult situation for both the employer and the newly hired candidate. In particular, rescinding a job offer can expose an employer to legal claims and reputational damage. Therefore, it is important for employers to understand the potential ramifications of rescinding a job offer and the measures they can take to mitigate their risks.
Important considerations for employers when rescinding a job offer include:
- Establishing a valid, lawful reason for rescission;
- Reviewing all relevant documentation, including offer letters and employee policies;
- Considering alternatives to rescission;
- Effectively communicating the decision to the candidate; and
- Determining appropriate next steps, including selecting an alternative candidate and reviewing hiring practices.
Prior to rescinding a job offer, employers should carefully consider their obligations and any potential legal or business risks. Our recently released Compliance Overview provides employers with best practices to minimize the risk of litigation or reputational harm to their organization.
Click the following link to read “Best Practices for Rescinding a Job Offer.”
