Employee Exit Checklist: The Breakdown of Offboarding Process

When’s the Last Time You Updated Your Employee Exit Checklist?

Jeremy Francis

June 4th, 2018 Employee Offboarding  

Anjali hated her company, and decided to leave. She quit last week.

That happens–as anyone with HR experience can tell you, you simply can’t please every employee. However, the issue we’re discussing isn’t Anjali’s departure itself, but the way it was handled. The HR staff who handled Anjali’s offboarding or exit interview process has no clue why Anjali hates the company. They also have no idea what can be changed, policy-wise, to make sure other people don’t feel the same way Anjali did.

A number of exit interviews don’t fulfil the purpose they are conducted for. Many employee exits get botched up, just because one HR exec slipped up during offboarding process.

But this can be sorted with a good employee exit checklist and an efficient employee offboarding process.

What’s an employee exit checklist?

Employee exit checklist is a paper or digital form or list that tells an HR employee the various steps through which an exit interview needs to go through. The exit checklist is a comprehensive list of all that needs to be covered when an employee leaves the company.

Need for an employee termination checklist

A good exit checklist or termination checklist is an absolute necessity for one good reason, if we could go ahead and say it bluntly: complacency.

When you repeat what seems like an easy, straightforward procedure regularly, it is human tendency to slip up every now and then. Maybe you forget to collect some company property, or remove access to confidential information. This sort of mistake is all too common–which is exactly why you need an employee offboarding (or employee departure) checklist.

Other benefits of employee exit checklist include:

  • Ensuring that the exit of one employee does not interrupt the flow of business
  • Making the offboarding process comply with company policies, certifications, and recommended safety measures
  • Collecting feedback from employees to provide insight into the success of the company’s policies for employees
  • Safeguarding company’s assets: both physical assets as well as proprietary knowledge

Okay, so what goes into a good employee exit checklist?

Key elements of a good employee exit checklist

Before Exit Takes Place

  • Notification sent to HR as soon as employee sends in a resignation letter
  • If the employee hasn’t sent in a resignation letter, the termination checklist should ensure that they hand one in, with the date of resignation mentioned clearly
  • If it’s a termination, termination details need to be collected (reason, timing, official responsible for termination order)
  • Checkpoints for handover, or completion of assigned tasks

When Exit Takes Place

  • Notification to the IT department, so they can restrict limited access to proprietary or sensitive information once termination is effective
  • Notification to office security staff, to collect employee ID, entry pass, entry codes and swipe cards
  • Alert the IT team about when to terminate employee’s access to office email ID, and other workplace-related software
  • Recollect all company property, including keys, books materials, company-supplied computers and other hardware
  • Settle up all salaries, according to company wage policies
  • Compensate employee for all eligible vacation days left
  • Account for all unpaid payroll advances
  • Check all expense reports, and ensure there are no outstanding issues
  • Review confidentiality and/or non-competition agreements

At the Exit Interview

  • Record exit interview date as soon as it is set, and notify those involved
  • Check if employee will need references
  • Discover reason for resignation, unless it’s termination
  • Receive and record feedback in exit checklist form from employee on relevant company policies

Employee Exit Checklist Automation

Many factors play a significant part in how effective a particular exit strategy is, so it’s crucial that you have a solid employee exit checklist in place. Using Kissflow HR Cloud, you can make your own automated checklist, complete with different approval steps, ensuring that employee exits are always handled well. It takes mere minutes–you can create an HR automation software that sets checkpoints through the offboarding process, making it effective and efficient.

Kissflow HR Cloud