Terminating employees or contractors is challenging and requires certain critical steps to protect you and your employee. In the unfortunate circumstance where you voluntarily or involuntarily have to separate an employee or contractor, Everee will be by your side to help.
To separate an employee or contractor navigate to the worker from the People section of Everee then use the menu to select 'separate'
Next you will be asked a series of questions which are conditional on the worker type (W2 or 1099) and current worker benefits.
First we collect some information on the worker's separation. All of this information will be viewable on the worker's profile. So if you need to reference these details in the future, you can.
We support three types of Separation:
- Voluntary: Ideal for workers who resign
- Involuntary without cause: Ideal for workers who were laid off
- Involuntary with cause: Ideal for workers who were terminated
Eligibility for rehire:
- Yes: ideal for workers who you are willing to rehire
- No: ideal for workers who you don't want to rehire
- This feature was included so that you can capture any details about the separation.
Date of Notice:
- This field is important because in some states you are obligated to make final payments in a particular time period. We capture this so that you have a record of it for legal purposes.
Date of Separation:
- This is the last day the employee will be working.
Last day of benefits coverage:
- This field is there so that you have a record of it on the worker's profile.
- Note: if an employee with any deduction is terminated mid-month the deduction amount will be pro-rated.
- If the worker's Date of Separation is in the future then Everee will generate a final, pro-rated payment the day after which will require approval by an Everee admin.
- If the workers's Date of Separation is back-dated then Everee will immediately generate a payment for any unpaid hours which will require approval by an Everee admin.
Severance and PTO:
If the employee being separated is entitled to a severance payment Everee will include this amount in the final payment.
Note: PTO payouts are not something which Everee supports as part of any final payroll payment for separated employees. If you need to pay an employee for unused PTO then we recommend using our One Time Payment option.
While separating a worker you may also generate some documentation so we've created a way to upload those documents directly to the worker's profile from the termination screen. Any documents you upload here will be dropped into a Folder called "Separation" in the document storage page for the worker.
Team manager coverage:
If the employee being separated is also a team manager we will ask you to add a new manager. Couple of things to note:
- The person being separated will remain as a manager on the team until their date of separation.
- If the new team manager already manages another team, they will be removed from their other team. In Everee a manager can only manage one team but you can have multiple people manage a team.