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Definition of Resignation:

When an employee chooses to terminate their employment, it is called Resignation. This is a voluntary act, and not to be confused with termination of the employee. The reasons for resignation could plenty, such as;

And so on. 

How should you handle employee resignation?

These days, companies understand the importance of employee retention. According to the  Work Institute, each employee exit costs about one-third of that worker's annual earnings, including expenses such as recruiter fees, temporary employees and lost productivity  Hence it is important to invest time on resignation procedure and look for ways to retain the employees. Here are some things to consider:

Designing a Resignation Process: 

When an employee decides to resign, they have to inform their manager and submit a formal resignation letter for the HR department to process their departure. Instead of verbally informing the procedure, it is much easier with a Resignation policy that talks about the following:

Role of HR in resignation:

HR plays a vital role during the exit of an employee. They conduct the exit interviews to understand the reason for their departure and inform them of the rights and benefits they are entitled to. At the same time, they need to inform employees how their last paycheck will be processed and the notice period details. Give the employee the opportunity to be honest, since it can bring unknown issues to your attention and help you resolve them. 

Once the cause of resignation is understood,  it is the responsibility of the HR to take care of the termination paperwork and discuss with managers on the hiring/replacement strategy.