When you have an habitual lazy employee you must follow the policies of the company you work for. For me, I speak to the employee first and ask about family, likes and dislikes about the job etc to get a repor going. I ask is there a reason why he isn't working as hard as he needed to. Most of them are usually embarrassed to have it brought up and some get defensive. If there is a valid reason for their laziness that I can assist with I will do what I can to help. If not I let them know that we monitor all our employees and it would be unfortunate to have to discipline him. I then make sure that the supervisor gives the lazy employee a list of tasks to do on shifts and a time line to do them in. If the employee doesn't improve I go to the next level of discipline they are up to. I then will discipline again if it continues and finally terminate if the behavior doesn't improve. The fact that you tried to help them is a sign of your good character but also makes it easier when you have to be involved in the unemployment hearing as you can show you did everything possible to help the employee. Oh and document and date everything and every time you speak with the employee as that will back up your decision. Remember to follow procedure.