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In this tutorial, Nancy shares key steps for gracefully firing an employee. Start by providing clear reasons for the termination, detailing unmet expectations. Ensure all communication occurs in a private setting to avoid humiliation and protect employee morale, as public firings can be unethical and detrimental to the organization. It's essential to follow legal guidelines throughout the process; the reasons for termination should be explicitly outlined in the employee's contract. Additionally, it's important not to leave any loose ends to maintain professionalism.