Termination Management Flashcards
Termination Management
Termination results from a decision of either the employee (voluntary) or the employer (involuntary), and is the
processes of ending a contract of employment.
Voluntary Types of Termination
Retirement
Resignation
Redundancy
Involuntary Types of Termination
Dismissal
Redundancy
Retirement
When an employee leaves the workforce permanently, typically due to age or personal choice. Factors include access to superannuation and the Age Pension (currently 67).
Resignation
When an employee voluntarily leaves their job, usually for another opportunity. A notice period is typically required, and an exit interview can reveal reasons for leaving.
Redundancy
When an employee’s position is no longer needed due to business changes like new technology, downsizing, closures, relocations, or restructuring. Employees may receive a redundancy package, including leave and a lump sum payment based on years of service.
Dismissal
When an employer terminates an employee’s contract, usually with notice unless for serious misconduct (summary dismissal). The employer must follow fair and lawful procedures and pay any outstanding entitlements.
Unfair Dismissal
When an employee is fired due to discrimination, they can file a complaint with the Fair Work Commission (FWC).