This template provides a comprehensive framework for creating a notice of termination policy that is tailored to the specific needs of your organization. It includes essential elements such as notice periods, severance packages, and job abandonment, which can help protect both the employee and the organization.
By using this template, HR professionals can create a clear and concise policy that ensures compliance with legal requirements and promotes fair treatment of employees.
A notice of termination policy should include the following elements:
- A definition of what constitutes a valid notice of termination
- Guidelines on calculating notice periods, including applicable laws and regulations
- Procedures for providing employees with written notice of termination
- Information on severance packages, including eligibility criteria and payment details
- Rules regarding job abandonment and how it affects an employee’s final pay and benefits
- Details on how the policy applies to different types of employment contracts, such as fixed-term or probationary employment
- Instructions on maintaining confidentiality during the termination process
- Steps to be taken when an employee disputes the terms of their termination
Step-by-step instructions for writing your own notice of termination policy
1. Review relevant laws and regulations: Familiarize yourself with the laws and regulations related to employment termination in your jurisdiction. This will ensure that your policy meets the minimum legal requirements and protects both the employee and the organization.
2. Identify the types of employment contracts covered by the policy: Determine whether the policy will apply to all employees or only certain categories, such as full-time, part-time, or probationary employees.
3. Define valid reasons for termination: Clearly outline the reasons why an employee may be terminated, such as poor performance, misconduct, redundancy, or expiration of a fixed-term contract. Ensure that these reasons are consistent with applicable laws and regulations.
4. Establish notice periods: Specify the required notice periods for different types of employment contracts and provide guidelines on calculating notice periods. Include information on how the notice period is affected by factors such as public holidays, weekends, or other non-working days.
5. Provide procedures for issuing written notice: Outline the steps that must be followed when issuing written notice of termination to an employee. This should include details on who is responsible for delivering the notice, the form of communication that can be used (e.g., email, certified mail), and any additional documentation that must be provided.
6. Offer support to affected employees: Consider offering support services, such as career counseling or outplacement assistance, to help employees transition to new roles.
7. Finalize severance packages: Specify the components of a severance package, including payment amounts, eligibility criteria, and the timing of payments. Confirm whether the employee will receive their final pay and benefits based on their employment contract or applicable laws and regulations.
8. Address job abandonment: Define what constitutes job abandonment and specify the consequences for employees who fail to return company property or equipment upon termination.
9. Maintain confidentiality: Emphasize the importance of maintaining confidentiality during the termination process and outline the measures that will be taken to protect employee privacy.
10. Update the policy regularly: Review and update the policy periodically to ensure it remains relevant and compliant with changing laws and regulations.
Notice of termination policy template
Notice of Termination Policy
Brief & purpose
The purpose of this policy is to establish guidelines for providing written notice of termination to [Organization Name] employees who have been terminated from their employment with the organization. The policy aims to ensure fair treatment of employees, promote transparency, and minimize disruption to operations during the termination process.
This policy applies to all [Organization Name] employees, including full-time, part-time, probationary, and fixed-term employees. It does not apply to independent contractors or agency workers.
Definition of valid notice of termination
A valid notice of termination refers to a written document issued by the organization’s authorized representative, which informs an employee of their impending termination and provides details on the applicable notice period, severance package (if applicable), and any other relevant information.
Employees on a fixed-term contract: The notice period specified in the employment contract will apply. If no notice period is stated, then the minimum requirement under applicable laws and regulations will be observed.
Probationary employees: The notice period specified in the employment contract will apply. If no notice period is stated, then one week’s notice will be provided.
Full-time and part-time employees: The following notice periods will apply based on the employee’s length of service:
+ Less than 2 years: 1 week
+ 2 years but less than 5 years: 2 weeks
+ 5 years or more: 4 weeks
Eligible employees who are terminated due to reasons other than misconduct or poor performance may receive a severance package that includes payment for the applicable notice period, continuation of benefits coverage, and outplacement assistance (where appropriate). The specific components of the severance package will depend on the employee’s length of service and employment contract.
An employee who fails to report for work without authorization for three consecutive working days (or five consecutive calendar days) will be deemed to have abandoned their job. In such cases, the employee’s final pay and benefits will be calculated according to the applicable laws and regulations, and company property or equipment must be returned within seven days from the date of termination.
Written notice procedures
1. Authorized representatives: Only designated HR personnel or management officials are authorized to issue written notice of termination.
2. Form of communication: Written notice may be delivered via email or certified mail, with return receipt requested.
3. Required documentation: A copy of the signed termination letter, employee ID card, and any other relevant documents must be attached to the notice.
4. Confirmation of delivery: The person delivering the notice must obtain a signature from the employee as proof of delivery. If the employee refuses to sign, the notice will be deemed served when it is emailed or mailed.
The organization may offer support services, such as career counseling or outplacement assistance, to affected employees. These services will be provided at no cost to the employee and may include access to job search resources, resume-building workshops, and networking opportunities.
All information related to an employee’s termination must be kept confidential during and after the termination process. Employees who breach this policy may face disciplinary action up to and including termination of employment.
If an employee disputes the terms of their termination, they should contact the HR department in writing within 10 working days from the date of termination. The dispute will be investigated promptly, and a response will be provided within 20 working days. If necessary, the organization may engage third-party mediation services to resolve the dispute.
Updates and amendments
This policy will be reviewed periodically to ensure compliance with changing laws and regulations. Any updates or amendments will be communicated to all employees through the organization’s intranet, email, or other appropriate channels.
By accepting employment with [Organization Name], employees acknowledge that they have read, understood, and agree to abide by the terms of this notice of termination.
Disclaimer: This policy template is meant to provide general guidelines and should be used as a reference. It may not take into account all relevant local, state or federal laws and is not a legal document. Neither the author nor Workable will assume any legal liability that may arise from the use of this policy.