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How Businesses Can Conduct Effective Employee Exit Management

29/11/2018

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When any staff member leaves, it can be a difficult time for a company. If an employee leaves under negative circumstances, it can prove much more a challenge.

In this age of social media, high profile employee exits have the potential to dominate headlines, local and global. And with an increasing number of employees making cases against former employers, businesses need to prepare for resignations.

Preparation, procedures and a willingness to hear feedback can ensure effective employee exit management.

This article will explore the risks involved with an employee’s departure and how businesses can effectively manage both amicable and negative employee exits.
 
Employee Exit Risk: Loss of Talent
Employee departures can be difficult to manage for any company, but particularly for SMEs. With limited resources, this loss of talent can sever an enterprise’s ability to perform.

This can damage its reputation, as a business will struggle to keep up with their workloads for their customers or clients.  
 
Employee Exit Risk: Workplace Dynamics
By nature, workplaces large or small, rely on the teams that work on their behalf.

In other words, when an employee leaves, particularly from SMEs, remaining staff members have to take up the shortfall, leading to heavier workloads and a deterioration in workplace dynamics.

Resentment towards a company can increase, leading to higher staff turnovers. Again, this can spell trouble for small businesses, as they balance the need to meet tasks with keeping their staff content.
 
Managing an Amicable Employee Exit
While a hostile employee exit can be extremely difficult for a company to tackle, both during and after their departure, a cordial departure can also be a challenge.

While their exit may not be confrontational, they will have their reasons for leaving. Take measures to ensure such departures remain amicable and your relationship with former employee remains positive.

  • Feedback
Take time to discuss your employee’s reasons for leaving, by asking for feedback.

Their honest thoughts about the company, its management and processes, will help you improve your working environment for remaining and future employees.

This approach also helps you to maintain a positive relationship with the former employee, while demonstrating a commitment to improve the workplace for existing staff. This can help prevent further staff turnover, ensuring your business continues to perform.

  • Exit Interviews
A business can manage an amicable departure effectively by conducting exit interviews.

Such measures can ensure employees feel that their contribution to the company was valued. In turn, an employer can also improve their brand.

It is only natural that that employee will discuss their previous employment with their new colleagues, friends and family. If an employee were to feel undervalued by you as an employer, this could damage your reputation and brand with other publics.

Exit interviews will help to form lasting positive relationships between an employer and a departing employee, as well as provide a further opportunity for a business to improve their culture for remaining staff.
 
Managing a Negative Employee Exit
High profile, negative employee departures can severely impact an organisation, its reputation with stakeholders, and the workplace dynamics among remaining staff.

Not only can such exits damage an employer’s branding, but they have the potential to generate talent shortages as a result of higher staff turnover. Clearly a company’s ability to manage these hostile departures effectively is crucial.

While ensuring the departing employee provides feedback and received an exit interview is also crucial during more confrontational departures, an organisation must effectively plan legally for negative departures.

  • Notice Periods
A business can conduct employee exit management effectively, by ensuring all staff are aware of notice periods, and their legal requirement to work for the full notice period.

  • Company Materials
A business should plan ahead, ensuring that company materials can be effectively protected during the negative departure of an employee.

Ensuring employees have not taken confidential data, records or materials by checking hard copy materials as well as computers, businesses can protect themselves throughout these negative departures.

  • Fulfil Legal Obligations
A company can protect themselves from possible legal challenges by ensuring that it fulfils all legal obligations to a departing employee.

Whether it means that all wages owed are paid efficiently, employees are aware of all required legal notices, and/or all benefit packages are met, companies can attempt to reduce the hostility of an exit, while meeting all legal obligations as an employer.
 
Plan Ahead for Effective Employee Exit Management
Whether an employee’ departure is amicable or not, a business can best prepare and conduct effective employee exit management by planning departure procedures ahead.

​This will ensure a company can protect themselves legally, ensure that its brand or reputation is not damaged amongst internal and external publics, as well as ensure optimum performance is continued.
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What Should An Employer Do When An Employee Resigns?

8/6/2018

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​If not dealt with properly, the resignation of an employee can be a problem for any company. It can leave other employees to pick up the pieces, as well as you having to start hunting for a suitable replacement. Here are some tips on how to prevent the resignation of an employee from disrupting your workplace.

Implement a policy which should include steps an employee must take when resigning, alongside the notice period expected and ensure the policy is highlighted during meetings or to any new recruits. If an employee doesn’t show up for work, check that they are okay, as they may have had an accident or family emergency. If not, and they continue to be absent, then they are in breach of their contract which has serious consequences.  
 

If the employee does give their notice, it is imperative to discuss their current work projects with the aim of finding out what they can complete before finishing up and how the work will be handled when they leave. Have the employee write a detailed handover document including their day to day responsibilities, their current projects, contact information for clients and any upcoming deadlines. If the worker leaving is of a higher position, have them write details for the team projects, so whoever is replacing the employee, knows how to manage the team appropriately.  

Keep it professional and congratulate the employee on their new role and thank them for work carried out within their role at your company. People leave work for many several reasons and it’s important for an employer to accept their decision and allow them to leave with no hard feelings. They will appreciate it and if asked about your company in the future, should only have pleasant things to say.   

Most resignations are not expected, but they may not always be a surprise to the employer. Workers resign for several reasons, such as a step up in their career, being offered substantially more money or wanting to be closer to home. If your employee has expressed similar issues within your company before, then their decision to leave shouldn’t be too much of a surprise. However, if a number of employee starts leaving for similar reasons, then it’s time to change things up. For example, if team members leave because of long commutes, try and develop a better work from home policy. If employees are being offered more money at competing companies, you need to review your salary and promotion offers. Or if employees resign because they haven’t been given the promotion they wanted, open up more opportunities for professional advancement to your employees.

When a worker resigns it will always cause uncertainty, which will lead to stress, and therefore how you handle this situation will have a substantial impact on your company. It is important to set a good atmosphere following the departure of an employee, as the positive tone will have a beneficial effect on the immediate and long-term future of your employees, ensuring that your current team will be happy to stay with your company for the foreseeable future.
​

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