To Board Chairs Everywhere: Good, Unfortunate and Terrible Ways to End the Head’s Relationship with a School
A Warning About Head of School Contracts
January 10, 2024The Basics of Healthy Board Governance: Honoring Channels and Boundaries
January 20, 2024Given the generally sad state of head of school turnover worldwide, perhaps it is time to have a candid conversation with chairs and prospective chairs about how to “fire” and how not to “fire” a head of school. Please take note and be prepared when this time inevitably arrives for whatever reason. As an aside we do governance work for thousands of independent and international schools and are retained only by boards to help thousands of schools benchmark head of school compensation. Thus, we know about many board situations involving conversations about the head’s tenure and performance.
I. A Reasonable Approach
If there is any political, cultural, or performance-related issue that prompts a board to terminate the relationship with a sitting of head of school, here are some thoughts to consider:
- Think about whether there is really a very good reason to part company at all. Have the board and the head both done the hard work to repair any perceived damage to the relationship or to address a lack of performance in a constructive way? Far too often heads are fired due to board turnover and not due to any real performance issues. Some heads are fired because the board set expectations for the new head that caused too much change too fast, with the head taking the blame and thus the fall. If this is the reason then try to back away, find a mediator if possible (not an attorney) and see if there is an alternative to parting company, or at least delaying that parting company for an 18-month period. Remember, the search process itself takes 18 months normally and is expensive in terms of money and time. Most transitions take up to three years. That means one should anticipate a possible 4.5 year window before things get back to normal.
- If the above does not work, or if the parties are unwilling, then make the decision carefully, thoughtfully, wisely and be sure that the full board, not just the executive committee, knows and supports the reason(s) why.
- Be sure you are acting in a legal and moral manner.
- Try not to surprise or ambush the head who is invited to a meeting not knowing why, but is then fired at that meeting. If this is what your law firm recommends, then think again. The tone and feel of this outcome and the manner of it may carry longer term consequences for the board and school than the board at that time may understand. This means reputational damage to the school as well as the head. The network of heads is quite open about these matters even when gag orders are put in place.
Law firms often recommend a gag order so the head cannot reveal to anyone the real reason or perhaps lack of a reason that the board terminated the head’s contract either immediately, or if relations are still good, with that 18 month notice period. We understand this, legally.But it can be terribly destructive to the head and his or her reputation.
- The chair should sit down with the head and explain the board’s rationale. Make it a civil, professional conversation and deal with the major issues thoughtfully: the school’s communication to the community, the head’s own reputation and thus the wording to the community, and the compensation for the head and family, including continued use of the school owned home if there is one. The compensation should be either 18 months’ notice (and continued employment which is the better option) or 18 months of salary and benefits.
However, do not guarantee more than 18 months’ salary and benefits or the board may likely be the subject of a stakeholder lawsuit on the grounds of misusing school funds.
- Communications with the community and outside world should avoid the language, “We parted by mutual agreement.” “Mutual agreement” almost always means that the head was fired.
- Will the board chair and other board members serve as a reference? If not, then the head is very damaged for future employment. Often when a chair or board member is called by a search chair considering the head, the board member’s response is “Yes, he/she worked for us from 2019 to 2023”. End of statement. This may sink the head’s candidacy. In these cases, heads may need to turn to former board members who may not be bound by the gag rule.
In short, do not fire a head by calling him or her into a surprise meeting without providing a true and honest explanation for the dismissal, and then try to end the relationship by paying as little as possible.
II. Examples of Harmful Separations
- The head has 18 months to go on the contract and the board seeks to find ways to fire the head “for cause” when no real “for cause” reason exists.
- All previous evaluations of the head have been very positive and yet, one person or a small group has undermined the head with the board leadership who have succumbed to this maneuver or pressure.
III. Examples of a “Good” Separation
- The chair indicates that the view of the full board is that concerns cannot be addressed, or at least on a timely basis. The board uses a mediator to ensure that the head can leave on a positive note, with proper compensation, with supportive communication to the community and with the commitment to cover attorneys’ fees and provide references for the head.
- A long-term, highly valued head is no longer performing well, and the board reluctantly feels a need to separate. In this case, great care must be taken not to undermine that individual’s connections, goodwill, and influence with the community, including possible donors. When the board feels it is time for a head to go, and the head does not agree, but there has been a long, mostly successful tenure, then my message to boards is: Be very careful.
- Always honor the head’s legacy and celebrate those accomplishments even if the board has decided it is time for a change. This means being very public about the board’s appreciation of the head’s accomplishments.
Here is another thought: Internal succession planning is crucial. Most externally hired heads are fired, usually within five years. Most internally hired heads are seldom fired. If you must pressure a valued head to retire, and there is a good prospect for internal succession, and especially if the head trusts this potential successor, then the departure of the head may be very amicable.
THE BOTTOM LINE: BE KIND.
