Separation of Employees

Separation means voluntary or Involuntary partition with a person or group or institution/organisation.Separation of an employee from the organization occurs when his service agreement with the organization comes to an end because of varied reasons. Two types of Separation Cost: 1. 2. Voluntary Separation Involuntary Separation

Types of employee separations

Types of employee separations

Voluntary

Involuntary

Resignation

Retirements

Layoffs

Discharges

Retrenchment

Dismissal

Human Resource Replacement Costs

Costs Recruitment Cost Selection Cost Training Cost Separation Cost

Advertising

Interviewing

Orientation Direct Training Cost Trainers Time Less Productivity During Training

Separation Pay

Campus Visit

Testing

Benefits Unemployment Insurance Cost

Recruiter Time

Reference Checks

Search Firm Fees

Relocation

Exit Interview

Outplacement

Vacant Position

1. RESIGNATION
When a termination is initiated by the employee himself, it is termed as resignation.Resignations may be put in voluntarily by employees on the grounds of marriage especially in the case of young girls, health, physical disability, better opportunities elsewhere, or maladjustment with the company policies and affairs. Resignation may also be compulsory or involuntary.

2. Dismissal
When the termination is made by the organization, it is termed as dismissal. A dismissal is the termination of the services of an employee by the way of punishment for some misconduct, or for prolonged absence from duty. Dismissals can be on the grounds of unsatisfactory performance, misconduct, or want of qualifications for the job, or excessive absenteeism.

Retirement
Retirement is the point where a person stops employment completely. Employees who have rendered services to the organisation for a number of years expect the organisation to provide their future when they have retired. So therefore, personal manager should arrange a special interview with the employee. He should thank the employee for his services and ask him to speak on changes or improvement he would like to b introduced in the organisation.

 There are 3 kinds of retirement: 1) Compulsory Retirement 2) Forced Retirement 3) Premature Retirement 4) Voluntary Retirement or Golden Handshake: An employee who has completed 15 years of service in the Federation or has attained the age of 45 years, whichever happens earlier will be eligible to seek Voluntary Retirement.Period spent by an employee on ca-sual/adhoc basis in the service of the Federation shall not count for voluntary retirement.

 Benefits: Lump sum Compensation (25 days basic pay plus fixed dearness allowance plus dearness allowance) Gratuity Encashment of leave Provident Fund