There are a number of reasons why an employee might resign. Unfortunately it’s all part and parcel of running a business or being a line manager, so it’s important to try not to take it too personally.
No matter how valuable the member of staff is to your team, you need to respect their decision as you cannot force them to stay.
So, what immediate steps should you take when an employee hands in their notice?
Acknowledge the notice
First and foremost you should officially acknowledge the person’s resignation. You can send a formal letter or email stating it has been received and it has been accepted (if you don’t accept it, they can withdraw the notice).
It is however important to note that if this is not a straight forward resignation e.g. you are aware of previous issues/concerns with this employee, it may be more prudent to check they have not acted in haste. Always seek advice if you are unsure.
Have an informal chat
If you can, try to have an informal chat with the employee so you can try to understand their reasons for wanting to leave or see if there is an issue that can be resolved.
Agree on a last working day
You should check your employee’s contract in order to find their required notice period and what you can/shouldn’t do during that notice period. Once you have this, you can agree on an exact final day for the employee and decide whether they will work their full notice, take holiday they are owed or be placed on garden leave.
Calculate final pay
You should prepare a breakdown of what the employee’s final pay packet will look like. This can include any unused accrued holiday and any other deductions. Remember to include any claw backs from paid training provided.
Once everything is decided, it is always best practice to confirm all of the above in writing so everyone is clear on expectations.
Plan the handover
Look over the employee’s work load and reallocate jobs to the rest of the remaining team, or you can start planning recruitment in order to replace their position.
Arrange with the employee when they will hand over any company equipment, e.g. laptop, mobile phone, desk chair, spare monitor.
Arrange an exit interview
If you can arrange an exit interview with your employee, it can be a great way to gather some honest feedback about your business, workplace culture, management or benefits.
Proceed with leaver admin
Once the employee has left the business, it’s important to ensure their P45 is issued and any access to buildings, files, computers or systems is revoked and passwords are changed.
When it comes to an employee handing in their notice, it’s important to make the process as smooth as possible for everyone involved. Now, us HR people love a handy checklist - but in these cases, they do come in dead handy.
By handling their resignation professionally, communicating clearly and planning ahead, you can minimise disruption to your business and support the rest of your team.
An employee leaving the business doesn’t have to be a negative experience. If you take their feedback about the role and the business on board, it can be a good opportunity to make any improvements and create a positive environment for the staff who are still with you or new ones that are joining you.
As always, you don’t have to do this alone. We are here to provide practical HR support for small businesses and can help you manage your team. Get in touch and we can help you handle employee resignations with ease, as well as any other HR challenges you might be facing.