What Is an Employee Termination Form?
An Employee Termination Form is used by the employer when they wish to lay off or fire an employee.
- Employee Termination Letter;
- Separation Letter from the Employer.
Terminating an employee is a hard thing to do. Generally, the employer has to let a former employee know the details of their termination, the reason, whether a lay-off or poor performance, modalities of their final paycheck, any information regarding benefits or accrued time off or vacation time the employee may have accumulated.
This Employee Termination Form is not a negotiation contract, but a one-way deal. It is used to inform the employee of the employer’s decision.
How to Document Employee Termination?
Apart from the obvious (employee’s personal information and your company’s information), your Employee Termination Letter has to contain a few important points: was the employee cautioned against the undesirable behavior? Are they still entitled to any benefits? When will their final paycheck be disbursed and in what format?
When preparing to terminate an employee, do keep the following in mind:
- Offering severance for all separations (except firing for poor performance, of course) can significantly reduce the blow;
- Do not take the employee by surprise. It is your job as an employer to try and invest by setting out clear policies, as well as by discussions and conflict resolution before you resort to the job termination;
- Treat the employee with respect and consider the circumstances around the firing or lay-off process that will ease off their hurt feelings and help them save face in front of their co-workers;
- Whatever you write, empathy should be your guiding principle throughout the letter.
Do I Have to Give an Employee a Termination Letter?
Although not required by law, the notice is a courtesy handed out by the company and good practice in face of unforeseen claims (for example, an unfair termination claim).
The Employee Termination Notice outlines the grievances the company or business has against the employee, e.g. policy violations by the employee and a brief description of the employee’s behavior, unethical activity, or problem. The letter speaks about the warnings and reprimands given to the employee, final paycheck, and benefits information.
What Does Employment Termination Mean?
Although quitting does have negative consequences regarding the unemployment benefits and severance package, it has a few important moral advantages that can boost the employee’s self-esteem and throw a ray of respect on the worker in the future job search. Workers fired for cause, meaning for unethical or illegal behavior, are unlikely to be compensated in any case, so give it some thought, as it may not be wise to wait to be fired. However, there are particularities regarding the “at-will” cases and questions such as can your employer fire you after you resign. You will not go wrong if you consult a lawyer concerning this matter.