Part 1: Employee profile
Management > Employees
Only a Manager with Payroll and higher access have the ability to terminate an employee.
- Click the pencil icon to edit the employee
- Click Settings
- Click Terminate Employee
- Enter the Date notice was given
- Enter the Final date of employment - please note, you will actually need to enter the first day of non-employment in this field, NOT the final date they are employed
- Enter the Notice period provided (days)
- Click Next
- Enter the Reason the employee is being terminated, for example resignation, termination, etc.
- Enter any Exit notes
- Check the Employee resignation box if the employee resigned
- Check the Re-employable box if if the employee is re-employable, which will allow you to cancel the termination before last day of employment if required
- Under Unassign shifts:
- Select Unassign to immediately unassign all shifts after the last day of employment.
- Select Delete to immediately delete all shifts after the last day of employment.
- Click Next
- Upload any relevant Documents such as resignation letters. This will be visible on the documents and notes tab, and will therefore be visible to anyone with manager permissions or higher.
- Click Next
- Review the details of the employee termination the click Terminate employee.
How to cancel the termination process
- If the terminated employee was set to re-employable, then in the Employee > Settings, you will see the Terminate button is not Cancel Termination.
- Click OK button on the popup alert.
- Upon clicking the OK button, the termination process will then be canceled.
- Once Termination process is complete and the final date of employment has passed, the Cancel Termination button will be hidden.
What happens when the termination is processed
The termination will be processed on the day following the employee's last day of employment. If the termination date is today, the system will process the termination within the next hour.
As part of this process:
- Leave requests after the last day of employment are deleted
- Any associated timecards for those leave requests will also be removed.
- Any timesheets after the last day of employment will be deleted
- The terminated employee will be unable to clock on
- Location access for the employee will be changed to "Terminated". They will then only have basic access to employee information, personal details, etc.
- The employee will not be allowed to submit leave requests
- The employee will not be allowed to accept shift requests
- Any pending and approved leave requests will be deleted
- Historic leave will still be shown but the employee will not be shown on the leave request page.
- Any associated timecards for those future leave requests will also be deleted.
- Future timesheets will be deleted.
- No notifications will be sent to the terminated employee.
- The terminated employee will be marked as Unrosterable.
- The manager will not be able to cancel the termination.
The following will also occur, depending on the settings chosen during the termination process:
- Unassign = no: shifts will remain in the roster with an alert Employee has been terminated
- Unassign = yes: shifts will be unassigned
- Delete = no: shifts will remain in the roster with an alert Employee has been terminated
- Delete = yes: shifts will be permanently deleted from the roster.
How to reinstate a terminated employee
- Follow this process to reinstate a terminated employee.
- Alternatively, you can create a new employee. If you create a new employee, the email address of the terminated employee will need to be changed to include the word "terminated" i.e. "firstname.lastname@example.org".
Terminate the employee in the pay run
The final step in the termination process is to terminate the employee in the pay run.
Create the termination pay run
Click on the name of the employee to be terminated in order to expand their details
From the "Actions" menu for that employee, select the "Terminate Employee" option
The following article provides further information on how PAYG is calculated within termination payments:
Generate ETP payment summaries for the termination
Once the Terminate Employee action has been selected, check the "ETP/Redundancy" option that appears. Checking this box will allow you to enter the ETP amounts to be paid to the employee.
If you need to generate amended payment summaries, check the appropriate "Amended" boxes.
Once you have entered the correct values for the tax free component and total taxable amount (we've included links to the relevant pages on the ATO website at the bottom of this article to assist), click on the "Save" button and we will calculate the tax to withhold on the taxable amount, as well as any Lump Sum D, amounts to be reported on the employee's EOFY payment summary.
NB. We don’t currently calculate any super on ETP amounts - you’ll need to add SGC (where required) to the pay run by using the Adjust Super option from the Actions button within the employee record.