Employment Separation Policy Template Lattice

By submitting your information, you agree to Lattice's Terms of Service and Privacy Policy. You can opt out anytime. As companies grow, change, or adapt to new business needs, employee separations — whether voluntary or involuntary — are an inevitable part of the workplace lifecycle. A well-written Employment Separation Policy helps HR teams and people managers navigate these transitions with clarity, fairness, and legal compliance, while ensuring that departing employees are treated with dignity and respect. Whether it’s a resignation, retirement, layoff, or termination for cause, the policy provides a clear roadmap for how employment ends — and what happens next. This transparency builds trust, reduces legal risk, and helps protect your employer brand, even in tough moments.

To be comprehensive, an Employment Separation Policy should include: An Employment Separation Policy ensures consistency, fairness, and compliance across all employee offboarding situations. Without a documented policy, organizations risk inconsistencies that can result in legal exposure, employee confusion, and reputational damage. The Termination/Separation of Employment Policy outlines the procedures and conditions under which an employee’s association with the company ends. It addresses both voluntary and involuntary dismissals, detailing reasons, processes, and legal considerations to ensure fairness and compliance during the separation process. This Termination/Separation of Employment Policy template is ready to be tailored to your company’s needs and should be considered a starting point for setting up your employment policies.

A termination/separation of employment policy may also be referred to as an employee termination policy or termination of employment policy. This termination/separation of employment policy should include: Our Termination/Separation of Employment policy refers to the event that an employee ceases to be part of the company’s workforce. It is beneficial for all parties that the employment separation process is as clear as possible so misunderstandings and distrust between the employee and the company can be avoided. The company is bound to handle any cases of termination of employment as dictated by law with discretion, professionalism and official documentation. This termination/separation of employment policy applies to all prospective or current employees of the company in regards to possible separation of employment.

Always stay current with hiring news by subscribing to our email updates The Separation/Termination of Employment Policy outlines the procedures and guidelines for ending the employment relationship between an employee and the company. This policy covers the process of voluntary resignations, involuntary terminations, layoffs, and any other form of separation from the organization. It is crucial for both employees and employers to understand the terms and conditions of this policy to ensure a smooth and fair transition. Having a clear and well-defined Separation/Termination of Employment Policy is essential for maintaining a positive work environment and protecting the rights of both parties involved. This policy helps to establish consistency in the termination process, ensuring that all employees are treated fairly and in accordance with legal requirements.

By outlining the steps and procedures for separation, the policy helps to minimize confusion and potential disputes between the employer and the departing employee. The purpose of this policy is to outline the procedures for separating or terminating employment with our company. It is important for both the employee and the company to understand the process and expectations during this transition period.2. Notification Employees who are separating or being terminated from employment will be notified in writing by their supervisor or HR representative. The notification will include the reason for the separation, effective date, and any relevant information regarding benefits and final pay.

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Employee Exit policy shows the handling of the full and final settlement of employees when they leave the organization. When the employee resigns, retires, or is being terminated from work, the necessary paperwork and formalities associated with employee exit need to be done via a systematic process. Exit interview, clearance from various departments, replacement of the departing employee, full and final settlement of employee dues, and more are the exit policy’s provisions. Regardless of the employee’s leaving situation, staying calm and professional will ensure a sleek transition for your company and keep doors open if any future encounters with the resigning employee develop. For the employees offering a notice, authorities will need to decide if the employee remaining on-site for the time mentioned in the notice will be more productive or noxious to the company. If negative, the authorities can, with all respect, accept their resignation and show that for the benefit of the business operation, they will take it as effective immediately.

The HR may pass on that they will pay them for the said notice period since they offered to work. If they don’t provide wages to the employee, they should understand that he or she can file an unemployment claim for the time they had offered to work through resignation but weren’t permitted. “Name of the Company” defines a policy that ensures an appropriate and impartial employee dismissal (retirement, resignation, end of the contract, etc.). “Name of the Company” believes that this will ensure that the employee will leave with dignity. Therefore, we believe that this is a precious organizational strength tool. This policy describes the process to be obeyed when an employee parts with the company.

It describes that the exit procedure must be transparent, so any miscommunication and suspicion can be sidestepped. During any employment termination process, factors such as professionalism, discretion, and formal documentation shall be followed in accordance with the laws. Good artists borrow, great artists use templates. Use our HR and management templates for employee surveys, reviews, company policies, and more. Use this free template to evaluate HRIS options, check for key features, and ask the right questions from the vendor. Let’s try different keywords or filters!

By submitting your information, you agree to Lattice's Terms of Service and Privacy Policy. You can opt out anytime. Ensure both are successful with Lattice. By submitting your information, you agree to Lattice's Terms of Service and Privacy Policy. You can opt out anytime. Sometimes, organizations face economic challenges, seasonal shifts, or operational disruptions that require difficult workforce decisions — including temporary layoffs.

Unlike terminations, a temporary layoff is a short-term, unpaid separation where the company intends to rehire the affected employee once conditions improve. A clear temporary layoff policy ensures transparency, consistency, and fairness when navigating these situations. It helps employees understand their rights, what to expect, and how to stay connected with the company during the layoff period. The purpose of this policy is to provide a fair and transparent process for managing short-term, non-disciplinary layoffs. It aims to: Temporary layoffs are never easy — but with a clear policy, they can be handled with empathy, dignity, and structure.

Any organisation would face retention issues at some point or other due to voluntary or involuntary termination of employment contracts. This policy will assist in defining the rules and guidelines for a smooth exit process. This policy template is available for download in Word format. In just a few minutes, you will be able to create a Separation Policy. This policy covers rules to be followed with respect to: The objective of a Separation Policy of < Company Name Here > is to ensure that employee terminations, including voluntary and involuntary terminations, including an unfortunate event of death of an employee, are managed...

This Separation Policy deals with the procedures to be followed both by the employee who is exiting the Company and relevant stakeholders within < Company Name Here >.

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