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Separation

HRM -NIFT

A.Rajyalakshmi

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Contents
Concept of employee separation  Types of separation  Separation ad termination polices and practices

HRM -NIFT

A.Rajyalakshmi

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HRM -NIFT A.Rajyalakshmi 3 .Concept of Employee Separation  Separation means a cessation of service with organization for one or the other reason.

Rajyalakshmi 4 .Types of Separation/ Turnover Resignation  Discharge & dismissal  Suspension and retrenchment  Lay-off  HRM -NIFT A.

HRM -NIFT A. to leave the employment for reasons determined by the individual resigning. submitted in writing. Employees who resign for any reason should give their supervisors a notice.Rajyalakshmi 5  .Resignation:  Resignation is a personal decision.

Rajyalakshmi 6 .Involuntary Organization Initiated HRM -NIFT A.

Rajyalakshmi 7 Involuntary . relocation  redundancy due to a merger or acquisition  HRM -NIFT A.Involuntary .Discharge discipline  poor performance  permanent layoff  temporary layoff  site or plant closing.Downsizing .

 Action prior to layoff are reduction of hours. 2)essential nature of position.Rajyalakshmi 8 . 3) seniority. absence of sufficient work. the Board may take action to reduce personnel costs. Criteria for will be: 1) performance. affected employees will be given as much notice as possible before this occurs. financial hardship. reduction of salary. or a change in the organizational structure.  HRM -NIFT A. and/or reduction by attrition.Layoff In the event of State or County requirements.  If circumstances require that the staff be reduced in number.

While a redundancy can also involve a termination it is different from other terminations as the employer decides that the work currently being performed by the employee is no longer required. rather than the employee & he could be offered alternative work & redeployed. In such cases.Redundancy Redundancy occurs when a position is no longer required by the organization. HRM -NIFT A.Rajyalakshmi 9 . the job may be terminated. This can happen at all levels of the company through no fault of their own.

first off’)? job performance—those with the poorest performance. should those most recently employed be the first to be retrenched (‘last on. are the first to go. There are various factors you could look at when selecting employees for redundancy—for example: seniority—i.Rajyalakshmi 10 .  • • • • • HRM -NIFT A. Redundancy can come from a number of conditions: • changes flowing from the introduction of new systems and technology—or modifications to existing systems and technology • restructuring.. skills and abilities for succession (merit-based) age—as long as it’s non-discriminatory attendance. relocation or re organization • changing economic or market conditions. according to the performance review system.e.

Managing Involuntary Turnover HRM -NIFT A.Rajyalakshmi 11 .

  The HR management systems and operations for the termination of employees must fit comfortably within the overall management formula. It should be accountable and the link between your organization's strategic goals the HR goals and systems be in line for termination.Managing termination The Following factors are considered by HR for managing termination  Activities to be carried out within the legislative framework (such as the Anti-discrimination Act) and the values of openness. fairness and equity. Reduce the risk of being charged with unfair dismissal. HRM -NIFT A.Rajyalakshmi    12 . Also provides the legal requirements for the communication process that should be used. Define and outline procedures that should be used in managing a separation/termination due to retirement or redundancy.

2) Temporary employment is also at will. HRM -NIFT A.Rajyalakshmi 13 . layoff or position elimination. 4) An employee voluntarily separating from employment shall be required to give and fulfill the proper notice period in order to separate in good standing. 3) Employees may be separated from employment voluntarily through resignation or job abandonment or involuntarily through termination.Policy 1) Regular staff employment termination may be initiated at any time by either the employee or by the organization accordance with the policy. these employees may be separated from employment for any reason.

. and/or  The employee’s length of service.  The employee’s work performance.Layoff A layoff is a separation from employment when recall of the regular employee is anticipated within one year. HRM -NIFT A. Decisions for layoffs shall be based on the following factors:  The type of work. or  Other reasons leading to a reduction in force.. Layoff of a regular employee may be necessary because of the following:  Lack of work.  Note: In all cases. e. e.g. the date of separation shall be the last day the employee actually worked even when terminal vacation pay may be granted.  Lack of funds to continue the position.Rajyalakshmi 14 . the specific individual job description of the position currently held by each employee. 3) Authority for layoff lies with the Provost or appropriate Executive Vice President after consultation with Employee Relations. 1) 2) A minimum notice of one pay period shall be given to an employee prior to layoff.g. consideration given to documentation of performance.

2) A minimum notice of one pay period shall be given to an employee prior to the separation. consideration given to documentation of performance. 3) Authority for position eliminations lies with the Provost or appropriate Executive Vice President after consultation with Employee Relations.. e.g.g.Rajyalakshmi 15 . e.. HRM -NIFT A. and/or  The employee’s length of service. the specific individual job description of the position currently held by each employee.  The employee’s work performance.Position Elimination 1) A regular position may be eliminated due to loss of funds or organizational changes which necessitate the elimination of the position. Decisions for position eliminations shall be based on the following factors:  The type of work.

HRM -NIFT A. The employee's signature notes knowledge of and not necessarily agreement with the content of the Employee Separation Sheet. The reason for separation. if any. 4) The Employee Separation Sheet shall be retained in the department. The employee shall be requested to sign the Employee Separation Sheet. Any letters of resignation or memorandums shall be submitted with the form. 2) The department shall complete applicable sections of the form at the time the employees gives or is given notice of separation. Note: In all cases.Position Elimination 1) The Employee Separation Sheet shall be initiated by the department head as soon as the date of separation is determined. The form shall state The actual last day worked. and Amount of terminal vacation. a copy given to the employee and two copies forwarded to the Human Resources Office of Compensation. the date of separation shall be the last day the employee actually worked even when terminal vacation pay may be granted.Rajyalakshmi 16 . 3) The Employee Separation Sheet shall be discussed with the employee by the supervisor and signed by the supervisor.

Rajyalakshmi 17 . if needed. The separation sheet shall immediately be forwarded to Human Resources on the date of separation. Failure to process this document as soon as the separation date occurs may result in unnecessary costs (unlawful payment of wages and benefits. Note: The expiration of a valid payroll date shall stop the employee’s pay. unemployment.) to the organization   HRM -NIFT A. or an action in Human Resources and a separation sheet shall be initiated to remove an employee from payroll records and the active personnel files. 2) The Employee Separation Sheet is required when an employee has separated.Separation  1) A Payroll Authorization Form (PAR). but does not separate the person from Human Resources files or the payroll department. etc.

Rajyalakshmi 18 .Tools Employment at Will  Justice  – Outcome fairness – Procedural justice – Interactional justice Progressive Discipline  Alternative Dispute Resolution  Employee Assistance Program  Outplacement Counseling  HRM -NIFT A.

Principles of Justice Outcome fairness – the judgement that people make with respect to the outcomes received relative to the outcomes received by other people  Procedural justice – methods used to determine the outcomes received  Interactional justice – interpersonal nature of how the outcomes were implemented  HRM -NIFT A.Rajyalakshmi 19 .

Rajyalakshmi 20 .Progressive Discipline •Unofficial verbal warning •Official written warning •Second official warning. with threat of temporary suspension •Temporary suspension •Termination HRM -NIFT A.

Stages in Alternative Dispute Resolution Open door policy HRM -NIFT A.Rajyalakshmi 21 .

Stages in Alternative Dispute Resolution Peer Open door policy Review HRM -NIFT A.Rajyalakshmi 22 .

Stages in Alternative Dispute Resolution Mediation Peer Open door policy Review HRM -NIFT A.Rajyalakshmi 23 .

rather than the subjective opinions of managers. job sharing. 3 In determining selection criteria look at matters such as length of service. salary reductions. Other points to consider are: • Maintain ongoing communication with employees about redundancy negotiations. • Discuss alternatives to redundancy where possible (i. experience and attendance record.) HRM -NIFT A. reduced working hours. They will have questions about the loss of jobs. as early as possible. efficiency. Use staff records where possible.Best practice principles They are as follows: 1 Give as much warning as possible.. etc. consider making the services of an outplacement agency available to assist them. 2 Consult with the union to establish criteria of selection. • If the organization's resources allow.e.Rajyalakshmi 24 . 4 Seek a fair selection in accordance with the criteria chosen. 5 Consider the availability of alternative employment.

. unjust or unreasonable and therefore be classified as an unfair dismissal. it could still find that the dismissal was unfair and make an award of compensation if: the employee (and their union) were not consulted before the retrenchment date or notified as soon as possible once a decision to terminate was made the criteria used to select for redundancy were not fair and reasonable alternative suitable employment was available but not offered to the employee the amount of severance benefits offered was inadequate. Even a genuine redundancy can still be found to be harsh. proposals included accepting a pay cut or working shorter hours. some groups of employees have offered to share the load when their organisation was faced with having to reduce staffing numbers. Employees should always have the reasons for a redundancy explained to them in advance and be given an opportunity to propose alternatives to the redundancy. HRM -NIFT A. 2. 3. 4. 5. For example.A fair go for all  Procedural fairness should be applied to all terminations.Rajyalakshmi 25 1.  While the Commission may not reinstate an employee if persuaded that the redundancy was genuine.

Rajyalakshmi 26 .Thank You HRM -NIFT A.