When an employee resigns

Checklist: what to do when an employee resigns

Guide

If you accept an employee's resignation, there are several things you need to do to make their departure as smooth as possible.

Employee resignation checklist

You should make sure of the following when an employee resigns.

Written confirmation of the resignation

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.

Notice period

Decide whether you wish the employee to work out their full notice period. You may find it more appropriate to pay the employee in lieu of all or part of the notice period if your contract provides for it or the employee agrees. However, if you do so, be sure that you are covered in respect of having another employee who can immediately take on the job.

Confirmation of the notice period

Confirm the employee's notice period, usually part of their contract of employment. If it is not, statutory notice will apply. See how to issue the correct periods of notice.

Communicating the resignation to other staff

Agree with the employee on the terms of an announcement to other staff concerning their departure, if appropriate.

Handover period

Organise a handover period. This allows for a smooth handover to existing staff or the employee's replacement of key tasks and responsibilities.

Exit interview

Arrange an exit interview. This determines the reasons for the employee's resignation and can help you address wider issues if you are seeing an increase in staff turnover. See resignations: conducting exit interviews.

Return of property

Retrieve security passes and all other property of your business, eg tools, uniforms, computers, and company cars.

Final wage payment

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 calculate final pay when a worker 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 the reputation of your business if they leave on poor terms, eg having identified you as their previous employer and then writing about their experiences as your employee on their social media account. This may be the case where the employee has details on their profile which identifies them as having worked for you. Read Labour Relations Agency advice on social media and the employment relationship(link is external).

Farewell gift

Organise a farewell gift or party, if appropriate. Acknowledgement of good service appreciated is valuable for maintaining staff morale and the promotion of a positive organisational culture.

Personal goodbye

Make a point of saying goodbye on the actual day the person leaves and thank them again for all their hard work.

References

Be careful about references - see when workers leave your employment.

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