There are two ways you can terminate an employee.
- Within the employee file
- Within a pay run
Terminating an Employee within the Employee File
The first, and simplest way is to open up the employee file, click on the 'details' section and down the bottom of the page you’ll see a 'Terminate Employee' button:
Clicking this button simply marks the employee as inactive and will no longer be eligible for pay runs.
Note: Please note that terminating an employee will not process a termination payment.
Terminating an employee via the pay run
To do this, click on the employee within the pay run and then from the 'Actions' button and select 'Terminate employee':
A pop up will appear as follows:
Enter the employee's termination date and then click on 'Save'.
The employee's record will turn pink (as an indicator it is in termination mode) and will display calculated earnings and any accrued leave to be paid out as part of the termination pay.
With regards to the section on 'Leave taken':
- Any leave category setup to be paid out on termination will automatically be calculated as part of the termination pay. If you do not wish for this to occur, deselect the 'Pay out' option;
- If you want any negative leave to be deducted in the employee's termination pay, ensure the 'Apply negative balances on termination' setting in Leave Categories has been selected;
- If you want to pay out a balance for an associated leave category that does not have the 'Pay out' option automatically selected, you will need to manually select this option;
- Any leave categories set up to not accrue automatically will not appear in this section.
Note: If the employee is set up to be paid default standard hours each pay and is terminated mid-pay period, the employee's hours will automatically be re-calculated on a pro-rata basis. We strongly suggest you double check these hours to ensure they are correct.
Once you have finalised the pay run, this employee will no longer be active or eligible to be included in future pay runs and the employee line will be highlighted red.
Note: If there are any unfinalised pay run for the employee, you will not be able to terminate until those pay runs have been finalised.
Cancelling a Termination
If you want to cancel the termination, click on the 'Actions' box within the employee's pay details and then click on 'Cancel termination'.
If you have any questions or concerns on terminating employees, please drop us a line via firstname.lastname@example.org.