By ProspectHR Consulting Director of Business Operations, Alexandra Lewis
An employee’s departure — whether voluntary or involuntary — is an important moment to pay attention to. In some cases, it can benefit both the employee and your organization when handled properly. A mishandled separation, however, can leave a lasting negative impression with the former employee and expose you to legal and practical difficulties. To avoid these pitfalls, every organization should have a structured offboarding process.
An employee’s reason for separation may alter the finer points of your plan, but every departure should follow these five steps:
1. Eliciting Feedback
Understanding why an employee is leaving and soliciting their honest opinions can be illuminating. This information can help instill a healthier work culture, better engage your staff and improve employee retention. The two most common ways to garner feedback are exit interviews and survey participation.
While these activities may be best suited for voluntary separations, they can be employed with terminated employees if undertaken in a considerate way.
2. Fulfilling Legal Obligations
Both state and federal laws impact final separations. Ensure compliance with final pay requirements (e.g., timing and inclusion of paid time off), COBRA notifications, unemployment benefits (if appropriate) and any other relevant legal requirements.
3. Recovering Company Assets and Addressing Security Issues
Have a process for retrieving all company property — uniforms, access badges, keys, computers, etc. — and terminating all electronic accounts associated with the departing employee. Direct all existing clients, vendors and other third-party relationships to remaining employees. Consider and communicate whether the change will be temporary or permanent.
4. Transitioning Remaining Staff
Timely communication with your team of an employee’s departure is crucial. If possible, identify who will assume the departing employee’s responsibilities and arrange for a knowledge transfer. Support remaining employees who assume additional tasks to avoid fatigue or resentment.
5. Providing Support
If a separation is involuntary, consider providing outplacement services, covering a portion of COBRA premiums or, in certain circumstances, offering separation pay in exchange for a valid waiver and release of claims. These offerings help employees navigate a stressful period and can instill a favorable opinion about the practice despite the difficult situation.
Tips for Implementation
To ensure a smooth, consistent implementation of the separation strategy, create an offboarding checklist. Following a roadmap reduces mistakes and deviations from standard operating practices. Your checklist may include steps such as preparing final documentation, filing and moving employee files to the appropriate archived location.
No matter the reason for a departure, separations can cause high emotions from both departing employees and those remaining. To minimize these stressors, maintain a respectful, kind, and professional tone at each offboarding phase. This should also extend to internal communications. When appropriate, consider sharing a brief organizational announcement thanking the employee for their service and clarifying to whom team members should direct questions or responsibilities moving forward. Doing so increases the likelihood that separating employees will feel good about your practice and remaining staff will view you as an employer that respects people, making your practice a highly desirable place to work.
Disclaimer: This article is intended to provide a high-level overview of considerations and best practices related to employee separations and offboarding. Employers should evaluate their specific operations, legal, and organizational needs when developing separation and offboarding procedures.
About the Author
Alexandra Lewis is a seasoned professional with more than 10 years of experience in HR and operations for both non-profit and for-profit organizations. Prior to joining ProspectHR, Alexandra honed her skills in a Human Resources role within a professional membership organization and played a critical role in employee and Board member retention. This experience gave her a unique vantage point to identify operational challenges, identify HR’s role and develop strategic solutions that enhance organizational efficiency.
Alexandra’s diverse background enables her to blend her knowledge of organizational structure with a customer-focused mindset. Currently, as the Director of Business Operations for ProspectHR, Alexandra manages client onboarding and success, ensuring a seamless experience for clients. Her ability to spot patterns and tackle complex problems makes her an invaluable asset to her team. Alexandra earned a B.S. from Florida State University.
