Whenever you run into a situation that may call for termination, I suggest asking yourself two questions. First, was it intentional? Did the employee make the mistake on purpose, or was it an accident? If your employees behave inappropriately on purpose, it's typically a sign of poor character and you may want to consider letting them go. If your employees have good intentions, though, you will most likely want to keep them around. They have integrity--they probably just need more guidance.
The second question you must ask yourself, though, is the kicker. Even if your employee had good intentions, you still have to ask, "Was it too damaging?" If the mistake is so costly that it draws a heavy amount of negative attention to your company or, worse, if it becomes toxic for the rest of your team, you will probably want to consider letting that employee go. You can do it quietly, and wish them the best in their career. But, sometimes, you've got to make the hard call for the good of other parties involved.
Before you ever consider letting anyone go, make sure you ask these questions first. Was it intentional? Was it damaging? You don't want to judge too quickly. You've got to keep all the good people you can.
As leaders in the mortgage industry, sometimes you've got to make the tough call for the betterment of the industry, your team, and your customers. Sometimes, you've got to let someone go. But, if you can, you always want to give your employees a chance to fix their mistakes, move, and grow. So, how do you know when you should fire an employee and when you should retrain them instead?