Employee resignations should be 'founded on mutual trust and respect,' says expert
When an employee announces they are leaving an organisation, there are two big questions: Should you let them leave immediately so there is no opportunity for negativity around the office? Or should you make them work out their notice period as stipulated in their contract?
“Our protocol when an employee resigns is one that is founded on mutual trust and respect,” Melissa Kirby, Q5 head of Melbourne, said.
“This includes things like typically working with the employee to agree a communications schedule, such that there is alignment on key messages such as end dates and continuity planning to important stakeholders like our clients and employees.
An employee resigning is another key touchpoint in their experience with the organisation, she said.
“It’s important that this is as positive an experience as possible. We have a philosophy that says, ‘You never know where your alumni might end up’ – we have alumnus who have become clients, and some that have even come back to work with us.”
‘Pause and reflect’
Understanding why an employee is leaving is vitally important to determine whether the individual was just not the right fit and therefore you need to review your recruitment processes or whether that role is not working out within the company structure because it has been a revolving door for the past year or two.
“The exit interview presents an incredibly valuable opportunity to gain insights about a company from departing employees who feel they can be more candid with their feedback,” said James Nicholson, managing director of recruitment firm Robert Walters ANZ.
Either way, companies need to think long and hard about what it the next stage. Do they simply recruit another person to fill the position? Or do they think about an organisational restructure, which can be small, thereby allowing other individuals within the business an opportunity to showcase their burgeoning skillset?
“It’s also a moment in time for the organisation to pause and reflect,” Kirby said. “This is an opportunity to ask for feedback from the employee and make necessary changes. You should also identify whether future hires will be a ‘like for like’ replacement, or whether there’s an opportunity to reshape the team that might in turn give other employees a development opportunity.”
Working out their notice
One of the first questions an employer must ask is whether an employee should work out their notice period. In most cases, there won’t be an issue, but often in C-suite appointments, employees are required to give three months’ notice and that can drag on and both parties start to suffer.
In some cases, you should let an employee leave immediately if they are going to a competitor, Roxanne Calder, founder of recruitment agency EST10, said.
“With regards to employees with a negative attitude, regardless of the contractual notice period, you should also end their contract period as quickly as possible. It is a relatively small price tag compared to the higher environmental and cultural cost to the organisation.”
Negativity breeds negativity, and when people are emotionally charged, rational or not, it harms team morale, she said.
“This is especially so in our current post-COVID environment where sensitivities are high. Believe it or not, resignations are contagious. It is essential to protect and guard the employees that are staying.
“In general, though, having people leave on the same day is not a high recommendation unless necessary and justified. If you are simply reacting to the situation, it is best to take time to consider it. What will be achieved by an immediate departure, and what of the cost? For all concerned, it is advised for people to leave with dignity and the opportunity to say goodbyes respectfully.”
No HR leader enjoys seeing an employee go – whether voluntarily or by termination – but it is not an excuse to be careless when it comes to supporting the employee in transitioning out of the company
Telling co-workers
Some employers want to wait until they have the immediate team or a high number of employees together to tell them of a resignation. This is done so they can explain what is happening with the role and announce any other company news. It also allows questions and people to understand what the overall company situation is if the employer only employs a small number of people.
“There isn’t a one-size-fits-all approach here,” Kirby added. “Typically, ‘the sooner the better’ is often best, but sometimes an organisation might want to wait until employees are together face-to-face. It’s a more ‘human’ way of communicating important news too.
“Building on this further, work with the employee on the message and timing that is mutually beneficial, whilst preserving your company values. Authenticity is key.”
In October, the number and rate of quits in Australia were little changed at four million and 2.6 percent, respectively, according to the Bureau of Labor Statistics.
