HR & Employee Management Articles

From Quitting to Firing: How HR Software Can Help Create a Smooth Offboarding Process

by Karen McCandless
Published on 3 October 2017

offboarding process header

More employees are quitting their jobs now than any time in the past ten years. Have you got a smooth offboarding process in place to handle that?

Maybe you don't care because you figure that you'll never see or hear from these workers again, but the benefits of hiring back boomerang employees have been widely documented.

Employees leaving your company doesn't have to be seen as something negative- you can learn about areas that are working well, as well as what areas you can improve on. Whether your employee is choosing to leave (i.e. they're quitting) or if you're letting them go (i.e. they're being fired), it's in your best interests to make the offboarding process as smooth as possible. Offboarding should be just as much a priority as onboarding.

To do this, you'll need HR software in place that includes certain offboarding functionality. In this article, we'll profile some key features in HR and offboarding software that can make this process more efficient and effective.

Offers continuing benefits options

Having always lived and worked (I'm from the UK) in countries with public health care, the idea of taking a job merely because of the benefits package is an alien concept. But without this public welfare support, this is a very real consideration in the US that can make changing jobs -or even retiring- a daunting prospect.

With the uncertainty and complexity surrounding benefit regulations such as the Affordable Care Act, some employee offboarding software aims to reduce the headache by offering continued access to affordable benefit plans to workers leaving the company.

Businessolve, for example, offers a solution called MyChoice Market, which provides its former employees with a marketplace where they can choose from benefit plans, including medical, dental, vision, and pet insurance coverage.

Revokes system and IT access

Sometimes your employees leave your company on bad terms, which can have dire consequences if they still have access to your IT systems. According to a OneLogin survey, 32 percent of ex-employees accounts take a week to be fully deprovisioned, and 20 percent can take a month or more.

To avoid the risks of ex-employees accessing your systems and wreaking havoc, you need an offboarding solution that provides automated deprovisioning of all access and user rights immediately.

PMG's onboarding and offboarding software carries out the onboarding tasks and deprovisioning in reverse order when an employee leaves. Its out-of-the-box integration with Active Directory and other HR management systems allows for automated provisioning and deprovisioning. PMG also includes audit trails so you can easily access records of all rights and permissions that need to be revoked.

Legal compliance

Depending on the country (and state), the offboarding legal requirements will look different. This differs again depending on whether this parting of ways is voluntary or involuntary (i.e. whether you fired them).

Then there are the company-specific policies you'll need to consider, such as:

  • NDAs and non-compete contracts
  • PTO and other erroneous payments
  • If a contract termination is in line with previous disciplinary action
  • Severance packages

HR and offboarding software such as Navigo's HR solution HROnboard can automatically generate the necessary documents that employers and employees must complete before the contract ends. It also provides an audit trail to ensure that all the necessary steps have been completed and documented before the employee leaves.

Exit interviews

A recent survey revealed that 89 percent of managers believe employees leave for more money, but 88 percent of employees listed other reasons for leaving. Not knowing why employees are leaving makes it harder to put in place any kind of employee retention strategy.

Exit interviews can help you better understand why employees are leaving and this insight allows you to rectify problems or put in place new initiatives or systems to stop your workers walking out the door.

Employee offboarding software can help you capture exit interview data more efficiently online: via an email questionnaire or through an anonymous online portal.

There are also some industries or job roles in which you need workers to complete paper-based exit interviews. In this case, employee offboarding software such as ExitPro by Retensa can provide printable exit interview questions, which you can then input into the system to generate reports and carry out analysis.

Exit portal for employees

Extending and complementing the idea of exit interviews, having a dedicated exit portal for employees ensure that not only does your worker have all the information they need to. This works much like a portal for when employees start the company where you would put all the training and resources they need to get up and running quicker.

This exit portal should contain resources such as:

  • Pay checks
  • Exit interview questions
  • Information on benefits
  • Alumni network details.

HROnboard has an offboarding functionality that provides an exit portal for leaving employees, which can be tailored to show information such as social media networks, alumni networks, and personal messages.

HR integration

While offboarding functionality can come as part of an all-in-one HR solution, if you choose a point solution then you'll need to ensure it integrates with the rest of your human resources software so the required information can flow between these systems.

This may include:

  • Payroll software to accurately process an employee's last pay check
  • Benefits administration software
  • IT management for revoking access
  • Employee scheduling to ensure they aren't put are on the rota for the weeks or months ahead.

HR software OnBase's employee separation module can automate these interactions by providing the payroll department with instructions about how to process the final paychecks, and giving benefit's staff instructions on what benefits will continue.

What tips do you have to make the offboarding process better?

Let us know what you do to make the offboarding process smoother for your company and leaving employees by leaving a comment below or by emailing me at karen@getapp.com.


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