Understanding Voluntary Termination
Voluntary termination is very common among many organizations, whether big or small and no matter which industry they operate in, employees come and go and an employer can’t do anything about it in many cases, there are times when the company would terminate the employee and there are situations where an employee would end the contract earlier, voluntary termination is when an employee is the one who initiates the termination.
Initiated by the employee: this is a key factor in deciding whether to classify it as a voluntary termination or not, it is important the employee is the one taking the decision. An employee notifies the employer in written and that has to get approved from the employer and with some matters that are there to be dealt with the Human resource department, an employee is resigned from his/her responsibilities.
Mutual agreement with the employer: there are situation where an employer has to move the employee on for several reasons and in order to create a win-win situation for all parties the employer decides not to terminate the employee but take resignation from the employee by offering him something extra. There are different laws governing the employee termination and redundancy and an employer can face penalties and fines, this is the reason why they ensure that the leaving employee is content with the post-employment benefits and the terms that are presented at the time of redundancy.
If the employer or the employee has little knowledge of what voluntary termination is then they should consult an expert, an employee could lose rights and an employer can face different fines and penalties if rights of the leaving employees are not secured. The documentation and the Human resource matters at the point of redundancy are the most important formalities at that time.