If you are in the position of having to fire a family member, care needs to be exercised at every level, to protect relationships in and out of the business, and to make sure that legally all the right steps are taken too.
A good insight into the challenges faced but the best way to avoid it coming to this, set out the right criteria for employing family members in the first place, don't give anyone a job just because they are related, and make sure that the individual has the right skills to do the job in the first place!
By the time a family business leader fires a relative, that person’s “Use By” date is usually long past due. It doesn’t take long for most employees to sniff a spoiled heir or sibling who is skating by. “If he weren’t Hank’s son, he’d be long gone” is the word around the lunchroom table -- when only non-family members around.