Termination of Employment.

Termination of Employment

Employees leave their organisations in a variety of ways, a number of circumstances and for a variety of reasons. The reasons why employees leave their current job can be split into two categories; voluntary and involuntary.

Voluntary reasons include: -

To take up another post
Retirement or voluntary early retirement
Voluntary non-employment, which could be due to a change in circumstances for example, parenting or studying.

People taking up another post may be doing so for a number of reasons such as: -

Personal reasons for moving to another geographical area.
Because they have been offered better terms to do the same work with another employer.
Opportunities for promotion.
To escape from uncongenial managers or colleagues.
A desire for a change in career.

It is very important for employers to understand why employees leave their organisations so that recruitment and retention plans can be devised to maintain the workforce necessary for them to achieve their goals. Therefore many employers gather information from staff who are leaving for voluntary reasons by conducting an exit interview with them.

Exit Interviews

It is important to gather data on any problems connected with aspects of the employment relationship so that employers can take action to remedy any arrangement that might potentially cause more valuable employees to leave.

The areas usually covered in an exit interview include: -

The reason for leaving, particularly if the person is going to another job. Is it for pay? Better career opportunities? Etc.
Relationships with supervisors and co-workers.
Working conditions in general and ones that might be problematic, such as shift work.

Exit interviews are usually conducted by someone from the human resource management department, as even when leaving, employees may be more willing to discuss work problems with someone they didn’t work directly with. Furthermore, the interviewer should ensure confidentiality and explain that information gained is ...

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The areas usually covered in an exit interview include: -

The reason for leaving, particularly if the person is going to another job. Is it for pay? Better career opportunities? Etc.
Relationships with supervisors and co-workers.
Working conditions in general and ones that might be problematic, such as shift work.

Retirement

Moving from working life to retirement requires a big adjustment in terms of a changed financial situation and increased leisure time. Employers can offer preparation for retirement through some kind of pre-retirement programme.

In addition to this employers can consider programmes for keeping in touch with employees who have retired, in order to arrange social gatherings etc. This could lead to greater morale from current employees as they will see evidence of the organisations concern for employee welfare.

Notice of Termination of Employment

Employers may have their own policies on notice, but the statutory rights of employees as stated in the Employment Rights Act are: -

1 weeks notice after 1month and up to 2 years service.
2 weeks notice after 2 years and up to 3 years service, continuing to increase by one week for every year completed to a maximum of 12 weeks notice.

The contract of employment must give details of notice entitlements, although employers are not required to give notice in cases of gross misconduct.

Employee Rights to Time Off Work

Employers are required by law to allow employees reasonable time off work for various circumstances, which include: -

Union officials to complete certain duties with a recognised trade union.
Public duties such as acting as a justice of the peace.
Employees selected for redundancy to look for or make arrangements for training.
Antenatal care.
Under new rights which cam into force in December 1999 employees are entitled to take time off to deal with an emergency involving a dependant.
Employees aged 16 or 17, who have few or no qualifications to study or train for approved qualifications which will help them achieve a reasonable standard.

This is not a comprehensive list, but gives you some idea of existing entitlements to time off.

Lawful Reasons for Dismissal

There are five potential fair reasons for dismissal: -

Conduct
Redundancy
Lack of capability
Legal impediment
Some other substantial reason.

Employees acquire the right to a written statement of reasons for dismissal after a qualifying period of 1 year’s employment.

Rights Relating to Maternity

This is a complex area so I will outline the basic rights.

Maternity Leave

As from December 1999 all employees, regardless of service are entitled to 18 weeks leave. Additional maternity leave is available for those employees with over 1 year’s service; this can extend the leave period up to 29 weeks after birth.

The entitlement to maternity leave is one area where employers often provide contractual enhancements in recognition of the fact that it is desirable to retain valuable employees, but that family commitments can conflict with workplace obligations.

Right to Return on a Part-Time or Job Sharing Basis

There is an onus on employers to give consideration to any request to part-time or job-sharing arrangements. Refusal to do so could be construed as discrimination since mothers with young children are less likely to be able to work full time.

Maternity Pay

All qualifying pregnant employees are entitled to 18 weeks of statutory maternity pay. The qualifications are that the employee has worked for at least 26 weeks and their average weekly earnings are enough to be relevant for National Insurance contributions. Employers can recoup 92% of the statutory maternity pay they pay out and small employers can recoup 105% if they qualify for Small Employers Relief.

Dismissal or Selection for Redundancy

Dismissal of r a matter related to pregnancy is automatically unfair. It is also unlawful to select a pregnant woman for redundancy.

Parental Leave

Under the Maternity and Parental Leave Regulations 1999, all parents and adoptive parents are entitled to 13 weeks unpaid leave during the first 5 years of the child’s life or of the adoption of the child. There is a 1 year service requirement to qualify for this entitlement.

Maternity Leave and Parental Leave: a proposed framework

After the establishment of new rights to maternity and parental leave in 1999, the government continued to consider this area, and a new framework was announced in the Budget in March 2001. The key features are listed below: -

Ordinary maternity leave extended to 26 weeks, additional unpaid leave for 26 weeks will be available. The qualifying service period was to be reduced from 1 year to 26 weeks.
The flat rate of statutory pay was increased to £100 per week from April 2003.
From 2003 paternity leave of 2 weeks, paid at the enhanced flat rate for statutory maternity pay, and normally to be taken in a block during the first 2 months of the child’s birth. Qualifying period of 26 weeks.
26 weeks of paid leave at the flat rate for an adoptive parent plus 26 weeks unpaid. Plus 2 weeks paid leave for the other parent at the time of adoption. Again, a qualifying period of 26 weeks.