Help Site

How do I enter a Separation Type and Reason?

Updated on

Personnel >> Personnel >> Transactions >> Separation Types

This is a two step process:

  1. Setup Separation Types
  2. Setup Separation (Transaction) Reasons

Separation

Employment separation occurs when the employment contract between an employee and his or her company comes to an end.

Separation Types and Reasons

Knowing the type of and reason for separation from employment is important as it may determine if the employee receives unemployment benefits and severance pay.  

The Table below shows a list of separation types and reasons which may be used as a guide to your setup on HRPlus.

Enter a Separation Type

Type Code: Enter a unique and user defined code which represents the type description.

Type Description: Enter the Separation Type Description

Status: Select the separation status here.

Enter a Separation Reason

Click on the link to see How to create a Separation Reason.

Table showing Separation Types and Reasons

Separation Types Separation Reasons
Termination
  1. Constructive Discharge
    • This is also known as constructive termination or constructive dismissal, occurs when an employee quits under duress and believes that they have no choice but to leave their employer. Often, they feel that they have been forced to leave by an employer who has intentionally made their working conditions intolerable. If employees who are separated in this manner can prove their case, they may retain some of the same rights as a discharged worker. Although it appears as if the employee left voluntarily, he or she had no other option but to leave due to the very difficult working conditions.

  2. Termination for Cause ( Misconduct)
    • When an employee , they are fired from their job for a specific reason. Reasons can include any sort of misconduct, such as ethics violations, failure to follow company rules, breach of contract, theft, falsifying documents, violence, harassment or threatening behavior towards others, insubordination, etc.
  3. Termination with Prejudice
    • A termination without prejudice means an employee has been let go for reasons other than performance, behavior, or attitude on the job, as in a layoff. Employees terminated without prejudice are eligible for rehire into the same or similar job role.
  4. Temporary Job or Employment Contract Ends
    • Once an employment contract is completed, or a temporary job ends, there will be a separation unless the employment is extended further.
Involuntary Termination
  1. Fired
    • A firing takes place when an employer severs ties with a worker due to poor performance or violations of company policy. Depending on the nature of employment, an employer may work with the employee in order to resolve the problematic situation or provide a probation plan as a warning. In the case of at-will employment, an employee can be fired without a reason or without warning.
  2. Layoff
    • Being laid off refers to a separation in which the employer has let an employee go because their services are no longer needed. Layoffs occur when employers experience a reduced volume of business or funding, or when a reorganization occurs that renders a job unnecessary. Economic changes, financial decisions, restructuring, redundancy, attrition, or a change in function may lead to this kind of separation from employment. Layoffs can happen to one or many employees at once, depending on the circumstances.
Voluntary Termination
  1. Resignation
    • A resignation occurs when an employee decides to leave a job of their own accord. Submitting your resignation is an official notice that you are ending the relationship between yourself and the company. Resignation etiquette varies by organization and job type, but typically, written notice at least two in advance of your official last day is commonplace.

Termination by Mutual Agreement

  1. Retirement
    • Retirement: This is a separation from employment whereby an employee opts to cease working once they have met the age and tenure stipulations laid out by the employer or negotiated by the employer and a union.

    • Mandatory Retirement: Mandatory retirement rules are limited to a few occupations where workers are deemed a risk to the public or themselves as they experience diminished capacities after a specified age. Examples include air traffic controllers, law enforcement officers, and pilots.
      Phased Retirement: Phased retirement occurs when older employees are allowed to steadily reduce their work hours over time, often months in advance of their official retirement date.

Previous Article How do I set up Transaction Reasons?
Next Article How do I setup Transactions-Payroll Linkages?
Still Need Help? Contact Us