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how is this person not fired?

We have too good employee laws. As long as you are trying your best it is really hard to fire anyone. There needs to be evidence that they aren't capable and even then they need to be given multiple chances over multiple months to correct this problem.

Only way to fire someone on the spot is if they are breaking law or refusing to do the work

Which part of the world is this happening in?

this is 100% your companys fault.

If this person is literally not producing anything useful, then set them a basic piece of work and tell them to complete it. If they can't give them a warning, tell them to upskill. Repeat after a month. And again a month after that. If they still can't do it then you have plenty of evidence to justify firing them, anywhere in the world.

Not that easy with our labor laws

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