Depending on the employee it may be necessary to terminate the individual's employment to motivate them to perform to a level expected. If that is the case the person is probably not very self motivated and this tactic will only be a short fix. If this is the motivational tool you have to employ you will probably have to replace that employee soon anyhow. In the long term it's a counterproductive tactic. Either A) you're not properly cultivating your employees and training them to succeed. This increases your turn over rates and operational costs. B) You're crying wolf and then the tool will fall on deaf ears; but more importantly you'll lose the credibility necessary to run the business.
