When an employee resigns

Checklist: what to do when an employee resigns

Once you have accepted an employee's resignation, there are several actions you need to take to make their departure as smooth as possible. Make sure you:

• Get written confirmation of the resignation, and the date of resignation. This will help you avoid disputes over the exact date of the resignation and the start of any notice period.
• Confirm the employee's notice period, usually part of their contract of employment. If it is not, statutory notice will apply. See our guide on how to issue the correct periods of notice.
• Agree with the employee the terms of an announcement to other staff concerning their departure, if appropriate.
• Organise a handover period. This allows for a smooth handover of key tasks and responsibilities.
• Ask your employee in confidence to discuss why they are leaving, and see whether they have unresolved grievances or suggestions for improvements.
• Retrieve security passes and all other company property, eg tools, uniforms, computers and company cars.
• Organise their final payment including all money owing, eg pay in lieu of working a notice period, money for unused holidays, overtime and bonus payments. See our guides on how to sort out tax matters when an employee leaves.
• Part on good terms. The person leaving may become a client or may be able to refer business to you. Equally, a disgruntled ex-employee can damage your business verbally if they leave on poor terms.
• Organise a farewell gift or party, if appropriate.
• Make a point of saying goodbye on the actual day the person leaves and thank them again for all their hard work.
• Be careful about references - see our guide on workers leaving: the basics.

Subjects covered in this guide

• Introduction
• Check if the resignation is necessary
• Checklist: what to do when an employee resigns
• Finding out why people leave
• Resignations in the heat of the moment
• Resignations where the employee may claim constructive dismissal
• Resignations connected with a business transfer

 

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