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Termination of employment or separation of employment is an employee's departure from a job and the end of an employee's duration with an employer. Termination may be voluntary on the employee's part, or it may be at the hands of the employer, often in the form of dismissal (firing) or a
layoff A layoff or downsizing is the temporary suspension or permanent termination of employment of an employee or, more commonly, a group of employees (collective layoff) for business reasons, such as personnel management or downsizing (reducing the ...
. Dismissal or firing is usually thought to be the fault of the employee, whereas a layoff is usually done for business reasons (for instance a business slowdown or an economic downturn) outside the employee's performance. Firing carries a stigma in many cultures, and may hinder the jobseeker's chances of finding new employment, particularly if they have been terminated from a previous job. Jobseekers sometimes do not mention jobs from which they were fired on their resumes; accordingly, unexplained gaps in employment, and refusal or failure to contact previous employers are often regarded as "red flags".


Dismissal

Dismissal is when the employer chooses to require the employee to leave, usually for a reason which is the fault of the employee. The most common colloquial terms for dismissal in the
United States The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country Continental United States, primarily located in North America. It consists of 50 U.S. state, states, a Washington, D.C., ...

United States
are "getting fired" or "getting canned" whereas in the
United Kingdom The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain,Usage is mixed. The Guardian' and Telegraph' use Britain as a synonym for the United Kingdom. Some prefer to use Britain as shorth ...

United Kingdom
the terms "getting the sack" or "getting sacked" are also used.


Layoff

A less severe form of involuntary termination is often referred to as a
layoff A layoff or downsizing is the temporary suspension or permanent termination of employment of an employee or, more commonly, a group of employees (collective layoff) for business reasons, such as personnel management or downsizing (reducing the ...
(also ''redundancy'' or ''being made redundant'' in British English). A ''layoff'' is usually not strictly related to personal performance, but instead due to
economic An economy (; ) is an area of the production Production may be: Economics and business * Production (economics) * Production, the act of manufacturing goods * Production, in the outline of industrial organization, the act of making products ...

economic
cycles or the company's need to restructure itself, the firm itself going out of business or a change in the function of the employer (for example, a certain type of product or service is no longer offered by the company and therefore jobs related to that product or service are no longer needed). One type of layoff is the aggressive layoff; in such a situation, the employee is laid off, but not replaced as the job is eliminated. In an economy based on
at-will employment In U.S. labor law, at-will employment is an employer's ability to dismiss an employee for any reason (that is, without having to establish "just cause Just cause is a common standard in United States labor law United States labor law sets the ...
, such as that of the
United States The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country Continental United States, primarily located in North America. It consists of 50 U.S. state, states, a Washington, D.C., ...

United States
, a large proportion of workers may be laid off at some time in their life, and often for reasons unrelated to performance or ethics. Employment termination can also result from a probational period, in which both the employee and the employer reach an agreement that the employer is allowed to lay off the employee if the probational period is not satisfied. Often, layoffs occur as a result of "downsizing", "reduction in force" or "redundancy". These are not technically classified as firings; laid-off employees' positions are terminated and not refilled, because either the company wishes to reduce its size or operations or otherwise lacks the economic stability to retain the position. In some cases, a laid-off employee may eventually be offered their old position again by their respective company, though by this time they may have found a new job. Some companies resort to ''attrition'' (''
voluntary redundancy Voluntary redundancy (VR) is a financial incentive offered by an organisation to encourage employees to voluntarily resign, typically in downsizing or restructuring situations. The purpose is to avoid compulsory redundancies or layoffs. Reasons A ...
'') as a means to reduce their workforce. Under such a plan, no employees are forced to leave their jobs. However, those who do depart voluntarily are not replaced. Additionally, employees are given the option to resign in exchange for a fixed amount of money, frequently a few years of their salary. Such plans have been carried out by the
United States Federal Government The federal government of the United States (U.S. federal government or U.S. government) is the national government of the United States The United States of America (USA), commonly known as the United States (U.S. or US), or Ameri ...
under President
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Bill Clinton
during the 1990s, and by the
Ford Motor Company Ford Motor Company (commonly known as Ford) is an American multinational corporation, multinational automobile manufacturer headquartered in Dearborn, Michigan, Dearborn, Michigan, United States. It was founded by Henry Ford and incorporated ...
in 2005. However, "layoff" may be specifically addressed and defined differently in the articles of a contract in the case of unionised work.


Termination by mutual agreement

Some terminations occur as a result of mutual agreement between the employer and employee. When this happens, it is sometimes debatable if the termination was truly mutual. In many of these cases, it was originally the employer's wish for the employee to depart, but the employer offered the mutual termination agreement in order to soften the firing (as in a ''forced resignation''). But there are also times when a termination date is agreed upon before the employment starts (as in an employment contract). Some types of termination by mutual agreement include: *The end of an employment contract for a specified period of time (such as an
internship An internship is a period of work experience offered by an organization for a limited period of time. Once confined to medical graduates, internship is used practice for a wide range of placements in businesses, non-profit organization A no ...
) *
Mandatory retirement Mandatory retirement also known as forced retirement, enforced retirement or compulsory retirement, is the set age at which people who hold certain jobs or offices are required by industry custom or by law to leave their employment, or retire. Rat ...
. Some occupations, such as commercial
airline An airline is a company that provides air transport services for traveling passenger A passenger (also abbreviated as pax) is a person who travels in a vehicle but bears little or no responsibility for the tasks required for that vehicle ...
pilot An aircraft pilot or aviator is a person who controls the flight of an aircraft An aircraft is a vehicle or machine that is able to fly Flies are insect Insects or Insecta (from Latin Latin (, or , ) is a classical lan ...
s, face mandatory retirement at a certain age. *Forced resignation


Changes of conditions

Firms that wish for an employee to exit of their own accord but do not wish to pursue firing or forced resignation, may degrade the employee's working conditions, hoping that they will leave "voluntarily". The employee may be moved to a different geographical location, assigned to an undesirable shift, given too few hours if part-time, demoted (or relegated to a menial task), or assigned to work in uncomfortable conditions. Other forms of
manipulation Manipulation may refer to: As underhand influence *Psychological manipulation **Crowd manipulation *Data manipulation *Media manipulation *Internet manipulation *Market manipulation In a physical context *Card manipulation *Coin manipulation *Hat ...
may be used, such as being unfairly hostile to the employee, and punishing him or her for things that are deliberately overlooked with other employees. Often, these tactics are done so that the employer won't have to fill out termination papers in jurisdictions without
at-will employment In U.S. labor law, at-will employment is an employer's ability to dismiss an employee for any reason (that is, without having to establish "just cause Just cause is a common standard in United States labor law United States labor law sets the ...
. In addition, with a few exceptions, employees who voluntarily leave generally cannot collect
unemployment benefits Unemployment benefits, also called unemployment insurance, unemployment payment, unemployment compensation, or simply unemployment, are payments made by authorized bodies to unemployed Unemployment, according to the OECD (Organisation for Ec ...
. Such tactics may amount to
constructive dismissal In employment law Labour law (also known as labor law or employment law) mediates the relationship between workers, employing entities, trade union A trade union (or a labor union in American English American English (AmE, AE, AmEng, U ...
, which is illegal in some jurisdictions.


Pink slip

Pink slip refers to the
American American(s) may refer to: * American, something of, from, or related to the United States of America, commonly known as the United States The United States of America (USA), commonly known as the United States (U.S. or US), or America, is ...

American
practice, by a
human resources Human resources is the set of people who make up the workforce The workforce or labour force is the labour Labour or labor may refer to: * Childbirth Childbirth, also known as labour or delivery, is the ending of pregnancy where one ...
department, of including a discharge notice in an employee's pay envelope to notify the worker of their involuntary termination of employment or
layoff A layoff or downsizing is the temporary suspension or permanent termination of employment of an employee or, more commonly, a group of employees (collective layoff) for business reasons, such as personnel management or downsizing (reducing the ...
. The "pink slip" has become a
metonym Metonymy () is a figure of speech A figure of speech or rhetorical figure is a word or phrase that entails an intentional deviation from ordinary language use in order to produce a rhetoric Rhetoric () is the Art (skill), art of p ...
for the termination of employment in general. According to an article in ''
The New York Times ''The New York Times'' is an American daily newspaper based in New York City with a worldwide readership. Founded in 1851, the ''Times'' has since won List of Pulitzer Prizes awarded to The New York Times, 132 Pulitzer Prizes, the most of a ...

The New York Times
'', the editors of the ''
Random House Dictionary ''Random House Webster's Unabridged Dictionary'' is a large American dictionary A dictionary is a listing of lexeme A lexeme () is a unit of lexical meaning that underlies a set of words that are related through inflection In linguis ...
'' have dated the term to at least as early as 1910. The phrase may have originated in
vaudeville Vaudeville (; ) is a of born in France at the end of the 19th century. A vaudeville was originally a comedy without psychological or moral intentions, based on a comical situation: a dramatic composition or light poetry, mixed with songs or b ...
. When the United Booking Office (established in 1906) would issue a cancellation notice to an act, the notice was on a pink slip. Another possible etymology is that many applications (including termination papers) are done in triplicate form, with each copy on a different color of paper, one of which is typically pink. In the and, until 1 January 2019 in
Ireland Ireland ( ; ga, Éire ; Ulster Scots dialect, Ulster-Scots: ) is an island in the Atlantic Ocean, North Atlantic. It is separated from Great Britain to its east by the North Channel (Great Britain and Ireland), North Channel, the Irish Sea ...

Ireland
, the equivalent of a pink slip is a P45; in
Belgium Belgium ( nl, België ; french: Belgique ; german: Belgien ), officially the Kingdom of Belgium, is a country in Western Europe Western Europe is the western region of Europe. The region's countries and territories vary depending on cont ...

Belgium
the equivalent is known as a C4.


Rehire following termination

Depending on the circumstances, a person whose employment has been terminated may not be able to be rehired by the same employer. If the decision to terminate was the employee's, the willingness of the employer to rehire is often contingent upon the relationship the employee had with the employer, the amount of notice given by the employee prior to departure, and the needs of the employer. In some cases, when an employee departed on good terms, they might be given special priority by the employer when seeking rehire. An employee who was fired by an employer may not be eligible for rehire by the same employer, although in some cases it is usually related to staffing issues. Employment can be terminated ''without prejudice'', meaning the fired employee may be rehired for the same job in the future. This is usually true in the case of layoff. Conversely, a person's employment can be terminated ''with prejudice'', meaning an employer will not rehire the former employee for the same job in the future. This can be for many reasons: incompetence, policy violation, misconduct (such as dishonesty or "zero tolerance" violations), insubordination or "attitude" (personality clashes with peers or bosses). Termination forms ("pink slips") routinely include a set of check boxes where a supervisor can indicate "with prejudice" or "without prejudice". For example, public school teachers in
New York New York most commonly refers to: * New York City, the most populous city in the United States, located in the state of New York * New York (state), a state in the northeastern United States New York may also refer to: Film and television * New ...
who are laid off are placed on a ''Preferred Eligible List'' for employment in the
school district A school district is a special-purpose district that operates local public Primary school, primary and Secondary school, secondary schools in various nations. North America United States In the U.S, most K–12 public schools function as uni ...
where they were laid off for seven years from the date of layoff. If a teacher who was laid off applies to fill a job opening, they are given priority over other applicants.


See also

* Employee exit management *
Labour law Labour laws (also known as labor laws or employment laws) are those that mediate the relationship between workers, employing entities, trade union A trade union (or a labor union in American English American English (AmE, AE, AmEng, ...
*
Letter of resignation up Richard Nixon's Resignation Letter to his Secretary of State, August 9, 1974 A letter of resignation is written to announce the author's intent to leave a position currently held, such as an office, employment or commission. Such a letter will ...
*
Turnover (employment) In the context of human resources Human resources is the set of people who make up the workforce of an organization An organization, or organisation (English in the Commonwealth of Nations, Commonwealth English; American and British ...
*
Employee offboarding Employee offboarding describes the separation process when an employee leaves a company. The offboarding process might involve a phased transfer of knowledge from the departing employee to a new or existing employee; an exit interview An exit inte ...
*
Termination of Employment Convention, 1982 Termination of Employment Convention, 1982 is an International Labour Organization ILO Conventions, Convention. Its purpose is to coordinate minimum levels of job security in the laws of ILO member states. Contents *art 2, establishes the scope an ...


References


External links

*
Chartered Institute of Personnel and Development resources on dismissal
in the UK {{DEFAULTSORT:Termination Of Employment