Terminate An Employee

Sign off the employee’s timecard through the end of the pay period that contains the termination-effective date or the last date on which any closing data (for example, accrual balance payouts) was prepared for the employee (whichever date is later). This prevents:

• Rehired employees being unable to totalise
• Hours multiplying repeatedly on rehired employees

The sign-off process for a terminating employee is no different from the normal timecard sign-off process. If the employee is leaving before the end of the pay period, ensure that only the hours worked are approved and signed off.

Assign the employee to an empty pay rule (for example, no holidays, empty pay code distribution, and so forth). This prevents unwanted holiday and other pay being attributed to terminated employees.

1. Click Main Menu .
2. Select Maintenance > People Information.
3. Select the employee from the list.
4. Select Timekeeping > Timekeeper.
5. Assign an empty pay rule to the employee and enter the termination date in the Effective Date column.

Note: If an empty pay rule does not exist, create one from Application Setup > Pay Policies > Pay Rules.

If the employee uses a data collection device to enter time, remove the employee from the Home Employee lists that are sent to the clocks.

1. Click Main Menu .
2. Select Maintenance > People Information.
3. Select the employee from the list.
4. Select Devices > Device information.

5. In the Badge Number table, enter the effective termination date in the End Date and End Time columns. This prevents errant PIN punches The entries on a timecard that mark the beginning (in-punch) or end (out-punch) of a work interval, such as the beginning of a shift or transfer. or misreading badges from adding punches to terminated employee timecards.

   Note: If the employee is terminated and no end date is inserted for the badge number, the employee will be allowed to enter his or her badge number through the end of the pay period.

6. For UDM Universal Device Manager manages the configuration of terminals and communication with the system. Device Group, select <None>.

There are two ways to remove accrual grants from the employee. You can add the termination date to the employee's Accrual Profile, or you can assign a No Accruals accrual policy Defines how and when balances for accrual codes are credited and debited..

The easiest way to remove accrual grants is to add the employee’s termination date to the employee's current Accrual Profile assignment. Although this is a simple process, it can cause totalisation errors on terminated employees due to a changed Accrual Profile assignment with an effective-date later than the termination date. In many instances, assigning a “No Accruals” accruals policy may be a better choice, as discussed in Option 2.

Option 1: Add termination date to the employee’s Accrual Profile

1. Click Main Menu .
2. Select Maintenance > People Information.
3. Select the employee from the list.
4. Select Accruals > Accrual Information.
5. In the Accrual Profile table, enter the termination date in the End Date column.
6. Click Save .

Option 2: Assign a No Accruals accrual policy

To prevent totalisation errors on terminated employees due to a changed Accrual Profile assignment with an effective-date later than the termination date, you can assign the employee to a No Accruals accrual policy. This stops grants while still enforcing taking rules.

Create a No Accruals policy

Create a No Accruals policy that contains the same accrual codes that were part of the accrual policy assigned to the employee before termination. For example, if the employee’s accrual policy had Annual Leave only, so too should the No Accruals policy.

1. From Application Setup, select Accruals > Accrual Policies.
2. In the Accrual Policies area, click New, and give the policy a name — No Accruals. Then, enter the following:
   • In the Grants section, select <None> and in the Limits section, enter a balance limit of zero (if existing balances should be discarded).
   • In the Takings section, move the applicable pay codes that debit this accrual code to the Selected column.
   • In the Overdrafts section, disallow overdrafts by entering 0 in the Warning boxes and 0:01 in the Disallow boxes.
3. Click Save.

Add the “No Accruals” policy to the employee’s Accrual Profile

1. From Application Setup, select Accruals > Accrual Policies.
2. Click New.
3. In the Accrual Profiles Editor, enter No Accruals in the Name box and select No Accruals from the Policy drop-down list.
4. Click Save & Return.

Assign the “No Accruals” profile to the terminating employee as of the termination date

1. Click Main Menu .
2. Select Maintenance > People Information.
3. Select the employee from the list.
4. Select Accruals > Accruals Information.
5. In the Accrual Profile table, select the No Accruals profile.
6. Click Save .

If the employee is later rehired, he or she will start with a balance of zero on the rehire date, regardless of what happened to his or her accruals during their previous tenure.

Frequently asked questions

Why is it better to specify No Accruals, when you can just change the employee's Accrual Profile to <None>?”

An Accrual Profile of <None> means that no accruals are calculated for this employee. This is not the same as having zero balances. When an employee is moved from an Accrual Profile that includes annual leave to an Accrual Profile that does not include annual leave (such as <None>), the transactions associated with the annual leave accrual code remain in the employee's history. This includes dates that were signed off before the employee’s Accrual Profile was changed, which causes these accrual transactions to no longer be displayed, even for the historical dates when they happened. No new accrual transactions will be written for any dates after the sign-off, that might supersede this data or zero it out. If this employee is later moved back to an Accrual Profile that contains annual leave, the old data will become visible again, and the employee will have the old balance carried forward.

If an employee does not have a vacation accrual to enforce, then nothing prevents vacation pay codes from being entered to that employee's timecard. Vacation is treated like any other pay code that is not associated with an accrual. Suppose that there are two groups of employees:

• One group receives Annual leave, Sick, and Personal time.
• The other group only receives Annual leave time.

The same manager edits timecards for both groups. If the second group's Accrual Profile only contains a Annual leave policy, and does not say anything about Sick or Personal, then when the manager edits their timecards, she can enter Sick leave in those timecards and the application will not disallow this, because for those employees, the pay code Sick is not associated with an accrual.

When an employee is no longer assigned to an Accrual Profile that contains a given accrual, the history of this accrual will no longer be visible in reports and in timecards. If the employee used to have that accrual, they have history for it, and users may want to see this history. The No Accrual rule will allow this history to remain visible.

“Why is it better to specify No Accruals, than to suspend/reinstate accruals?”

The No Accruals policy allows enforcement of taking rules on all of its associated accruals.

Using a No Accruals policy that has the same accruals as the policy assigned to the employee when the employee worked allows all of the employee’s accrual history to remain visible in reports and timecards, but if the accrual policy is end-dated, this data will no longer be visible in reports or timecards beyond the end date.

Using the No Accruals policy also takes advantage of the history of accruals data retained in the database for the employee, such that if the employee is rehired and assigned back to his or her original accrual policy, the old balance will be brought forward.

Removing any group schedule and schedule pattern assignments for the employee prevents terminated employees from being paid inadvertently.

1. Click Main Menu .
2. Select Maintenance > People Information.
3. Select the employee from the list.
4. Select Scheduling> Scheduler.
5. In the Group Assignment table, enter the termination date in the End Date box.
6. Click Save .

Add the termination date to any schedule pattern assignments.

1. Click Go To > Schedule.
2. Right-click the terminating employee’s name and select Schedule Pattern Defines a repeating pattern of shifts, pay codes, and availability that is assigned to one or more employees for a specific time span. .
3. In the Schedule Pattern window, for End date select Specify date and enter the termination date.
4. Click Apply. Repeat steps as necessary if there are multiple schedule patterns.

Using the termination effective-date, assign an empty profile to the percent allocation rule. Terminated employees are still processed by the Background Processor when a percent allocation rule is edited. This will reduce the number of employees submitted for totalisation when the rule is changed.

1. Click Main Menu .
2. Select Maintenance > People Information.
3. Select the employee from the list.
4. Select Timekeeping> Timekeeper.
5. .In the Percentage Allocation Rule table, select Empty Profile and add the termination date in the Effective Date column.
6. Click Save .

1. Click Main Menu .
2. Select Maintenance > People Information.
3. Select the employee from the list.
4. Click Edit Licenses .
5. Clear all license categories and roles for the employee and click Apply.
6. Click Save .This terminates the employee and releases licenses for reassignment at the end of the current pay period.