Separation of Employment Policy
Separation of Employment Policy
Purpose
It is the policy of [Company Name] to ensure that employee terminations, including voluntary
and involuntary terminations and terminations due to the death of an employee, are handled in a
professional manner with minimal disruption to the workplace.
At-Will Employment
Employment with [Company Name] is voluntary and subject to termination by the employee or
[Company Name] at will, with or without cause, and with or without notice, at any time. Nothing
in this policy shall be interpreted to conflict with or to eliminate or modify in any way the
employment-at-will status of [Company Name] employees.
Voluntary Terminations
A voluntary termination of employment occurs when an employee submits a written or verbal
notice of resignation, including intent to retire, to his or her supervisor or when an employee is
absent from work for three consecutive workdays and fails to contact his or her supervisor (job
abandonment).
Procedures
1. Employees are requested to provide a minimum of two weeks’ notice of their intention to
separate employment. The employee should provide a written resignation notification to
his or her manager.
2. Upon receipt of an employee's resignation, the manager will notify the human resource
(HR) department by sending a copy of the resignation letter and any other pertinent
information (e.g., employee’s reason for leaving, last day of work).
3. The HR department will coordinate the employee’s departure from the company. This
process will include the employee’s returning all company property, a review of the
employee’s post-termination benefits status and the employee’s completion of an exit
interview.
4. Employees who possess a security clearance must meet with the security officer for a
debriefing no later than their last day of employment.
Involuntary Terminations
An involuntary termination of employment, including a layoff of over 30 days, is a management-
initiated dismissal with or without cause.
Procedures
1. Before any action is taken to involuntarily discharge an employee, the employee’s
manager must request a review by the termination review board, which consists of the
president of [Company Name], a representative from HR and the employee’s
department head.
2. The termination review board will be responsible for reviewing the circumstances and
determining if discharge is warranted. If the board recommends discharge, the
employee’s manager and an HR representative will notify the employee. The employee’s
manager should complete an employee change form and notify HR and payroll of the
last day worked by the employee.
Death of an Employee
A termination due to the death of an employee will be made effective as of the date of death.
Procedures
1. Upon receiving notification of the death of an employee, the employee’s manager should
immediately notify HR.
2. The benefits administrator will process all appropriate beneficiary payments from the
various benefits plans.
3. The employee’s manager should ensure that the payroll office receives the deceased
employee’s timecard.
Final Pay
An employee who resigns or is discharged will be paid through the last day of work, plus any
unused paid time off (PTO), less outstanding loans, advances or other agreements the
employee may have with the company, in compliance with state laws. In cases of an
employee’s death, the final pay due to that employee will be paid to the deceased employee’s
estate or as otherwise required under state law.
Health Insurance
Medical, dental and vision insurance coverage terminates on the last day of the month the
employee separates employment or is terminated. An employee will be required to pay his or
her share of insurance premiums through the end of the month. Information about COBRA
continuation coverage will be provided.
Return of Property
Employees must return all company property at the time of separation, including uniforms,
cellphones, keys, laptops and identification cards. Failure to return some items may result in
deductions from the employee’s final paycheck where state law allows. An employee will be
required to sign a wage deduction authorization to deduct the costs of such items from the final
paycheck. In some circumstances, [Company Name] may pursue criminal charges for failure to
return company property.
Exit Interview
The HR department will contact an employee who voluntarily resigns to schedule an exit
interview on the employee’s last day of work.