What is a Termination Reason?
- When an employee ceases employment they need to be terminated within the People and Payroll solution. A Termination Reason is a reason their employment ended, for example, Resigned – Relocation or Dismissed – Performance.
- This document outlines how to set up the different reasons that will then be available for selection when an employee is terminated.
How to set up Termination Reasons
- HR > Administration > Termination Reasons
Fig.1 Termination Reasons within Administration
- Click 'Create Termination Reason' in the top right corner of the screen and the setup box will appear. Enter in the description of the Reason, for example, 'Resigned – Relocation', as seen in Fig.2.
Settings within Termination Reason Setup
- Reemploy states whether or not the employee can be rehired in the portal at a later stage. The reemploy option in the termination reason set up automatically feeds through to an employee's termination details page.
- So for example, if Re-employ in the termination reason is set to 'No' the termination details will automatically show Re-employ 'No' as seen in Fig.3.
- An example of a termination reason that would potentially be set to 'No' might be 'Dismissed – Theft'.
Please Note: If users should be given the option when terminating an employee, set the Reemploy in the reason to 'None Specified', as seen in Fig.2.
Exclude From the Staff Turnover Report
- The setting 'Exclude From Turnover Report' states whether or not a Termination recorded under this Reason should be excluded from the figures when reporting on turnover.
- An example of a termination reason that would potentially not be included in turnover might be 'Duplicate Employee'.
Fig.4 Staff Turnover Report which Termination Reasons can be excluded from
Pay £1 Holiday on Termination?
- The setting called 'Pay £1 Holiday on Termination?', as seen in Fig.2 will pay an employee £1 holiday in their last payslip.
- As long as this is written into an employee's contract, £1 holiday can be paid in certain circumstances such as an employee is dismissed through gross misconduct. But this would have to be an internal business decision.