• Manage staff overview
• Motivate and retain staff
  • Investing in training
  • Flexible work arrangements
  • Performance reviews
• Problem solving
  • Preventing common problems
• Ending an employment relationship
  • Exceptions to the retirement age rule
  • Abandonment of Employment
  • Dismissal
• Restructuring and redundancy
  • Alternatives to redundancy
  • Help for redundant employees

Ending an employment relationship

The end of an employment relationship usually happens in one of four ways:

• The employee resigns or retires
• The employee abandons their job
• You dismiss an employee
  
• A position is made redundant and the job is no longer available for an employee or group of employees.

Following correct procedures in each case will help you reduce any potential disputes.

What you must do

• Employees can resign at any time, provided they give you reasonable notice. You can require them to work for the full notice period or ask them leave immediately. Include notice details in your employee’s employment agreement.
• With some exceptions there is no general retirement age, so you can’t force employees to retire due to their age. Employees who retire are regarded as having resigned.
• You must continue to pay the employee until the end of the notice period.
• If an employee leaves work without giving notice they may be considered to have abandoned their job. In these circumstances you are only required to pay them up to their last actual working day and any holiday pay owing. You must still find out the reasons for an unexplained or unauthorised absence.
• Make sure your employment agreement includes an abandonment clause and notice period clause.
• Pay out all holiday pay owing to employees for their final period of employment.

What you could do

• Investigate the causes if your staff turnover rate is above average for your industry. A high staff turnover is costly and can signal problems in your business.
  
• Encourage employees to talk openly about their intentions to leave and why. Getting an early warning can help you manage any business disruption, and discussing why they intend to leave may give you information to improve your business processes.
  
• Get it in writing. If an employee resigns verbally, request confirmation in writing. To avoid any disputes ensure that the agreed notice period and final day of work are clearly set out.
  
• Ensure your employment agreements include agreed notice periods and abandonment clauses so that employees clearly understand your expectations and procedures.