Eddy’s HR Mavericks Encyclopedia
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HR Offboarding Guide
After an employee resigns or has been terminated, you will begin the offboarding process. This article will share with you why the offboarding process is important, what the process looks like and mistakes to avoid when offboarding.
What is Offboarding?
Offboarding is the process of ending a person's employement with a company, and can be applied both for people leave voluntarily as well as those who are laid off.
Key components of a good offboarding include:
- A respectful farewell
- Recovery of company assets
- Protection of company information
- An exit interview
- Processing final paycheck and reviewing benefits info
- Assistance with their next role
- Documentation of the whole process.
The Offboarding process happens after an employee resigns or is let go. The offboarding process begins with showing respect to the employee by completing the process properly and in a timely manner. When an employee has resigned or has been terminated the offboarding process begins immediately. Sometimes employees give a two-week notice and other times just a day. It is important to begin as soon as notification has been given that the employee is leaving.
HR will coordinate with the supervisor in offboarding the employee from the company, through conducting an exit interview and providing information on benefits, retirement, and other necessary legal documents. Remember, just like you ensured an employee had a positive experience with onboarding, you will want to make sure they have a positive, respectful experience in leaving the company.
Onboarding Versus Offboarding
Onboarding and offboarding are crucial processes for a company to get right. But don’t let the work required in the onboarding process lead you toward concluding that the offboarding process is simpler. Both processes are equally important. Both processes should be focused on treating the employee with a white glove, red carpet kind of experience. When done well, the offboarding process can be very eye opening.
HR professionals can learn a lot from their experience first hand. You can discover why an employee is leaving, such as having a negative experience with a supervisor, not having enough training, the workload was too much, not paid enough or as simple as wanting to feel a sense of belonging.
Why Is Offboarding Important?
Offboarding an employee is important for a number of reasons. Those reasons include showing respect for the employee, staying true to your company culture and mission, and leaving a good impression of your company with the former employee. We discuss each of these in greater detail below:
- Respect. Humans are the greatest asset a company could ever have. Employees are humans and deserve to be treated with respect whether they are leaving the company voluntarily or involuntarily. Some of the ways you can show respect is by being prompt with kicking off the offboarding process, listening to the employee when conducting the exit interview while looking for ways to implement the advice given by the employee. You can also show respect for the employee in the way you speak to them and communicate the desire to maintain an ongoing relationship even after they have left the company.
- Company culture. The way an employee is offboarded says a lot about your company culture. Think about what you want that experience to be like for each employee who leaves your company. Transitioning jobs for employees can be an emotional experience, especially if it is involuntary.
- Brand ambassadors. Employees who transition from your company become brand ambassadors for your company. As you show respect to the employee throughout their experience with your company, especially right up until the end, it will foster a greater desire in the employee to want to promote and recommend your company to other people who could potentially work there. They can help share their work experiences with potential employees. This can aid in finding a replacement for their position.
What Is the Offboarding Process?
The offboarding process is when an employee is transitioning out of a company. It’s the final chapter to the employee’s experience with your company and a great way to end on a great note. Keep in mind the offboarding process says a lot about a company in how they treat their employees when they leave whether it is voluntary or involuntary. The company can show employees that they are their most valuable asset by treating them with respect and dignity to the very end. The following steps will help you to start creating your offboarding process.
How to Communicate when an Employee Leaving the Company
An employee will either voluntarily or involuntarily leave the company. It will be important for the supervisor to contact HR to let them know the employee is leaving. If it is involuntarily, HR should already be involved—typically, HR should have already been notified, and created appropriate documentation of warnings and or performance improvement plans.
It is important for HR to be involved early on because they can help aid in protecting and supporting the employee and the company. This is done by making sure the process is done ethically, legally, and while avoiding discrimination.
How to Facilitate Knowledge Transfer when offboarding
The employee can assist with helping transfer the invaluable knowledge they gained while working their job. Communicate to the employee the valuable impact they could have as they are leaving the company by transferring their knowledge and experience. Invite the employee to document their knowledge so the new person coming into their role will not have to start from scratch. They could aid HR in the process of reviewing the job description, hiring a replacement, documenting processes, etc.
What are the components of successful offboarding?
The HR department will coordinate the employee’s departure from the company. There are several components to this step, including:
- Communication to other teams and remaining employees
- Completing an exit interview to get feedback on what you are doing well and what could improve as a company.
- Review documents including confidential agreements, health benefits, and retirement options.
- Returning company equipment.
- Contact IT to close all employee accounts and change passwords.
- Work with Payroll team to process final paycheck.
- Disable access to company buildings and property.
- Document paperwork, including any resignation letter or other any necessary paperwork. You will want to document whether or not this person could be considered for rehire.
- A respectful farewell can include a goodbye party or lunch. Or even a parting gift of company swag to wish the departing coworker luck in their next job.
How to Maintain a Relationship with Former Employees
In a way, former employees become brand ambassadors for your company. They will share the good and the bad. Be sure to end on a good note. Former employees can be a great resource for recruitment, either making referrals or choosing to return themselves. There could be opportunities for employees who have retired to come back part-time, or on an on-call basis.
The company can pair former employees who have retired with someone who is less experienced to mentor, teach, and share what they have learned. Just because an employee may leave your company involuntarily meaning they did not succeed in your company’s environment does not mean they cannot succeed in another corporate environment. There are still opportunities in which they can still impact your company for good.
But if employees who involuntarily leave and are disrespected when it happens, they will not be giving your company a positive review. Remember people might not always remember what we say but they will remember how we made them feel. So, think twice about how you treat others especially in these situations where emotions run high and you are cutting off their livelihood.
What To Do After Offboarding is complete?
HR and the manager can work together on deciding what needs to happen for the position the employee left open. Ask yourself and the manager the following questions:
- Do we need to backfill this position?
- Who will fill in with these responsibilities until someone is hired?
Take this opportunity to review the job description and training for this position. Take a look at how
Common Mistakes While Offboarding
Here are a few examples of potential mistakes that HR professionals will want to avoid when offboarding employees. In understanding, the importance of the offboarding process, is at the heart of what HR professionals do. It is critical that employees do not feel forgotten, remembered for the good they did, and that their opinion and experience matters.
Example 1: Employees Feel Forgotten
It’s easy to overlook when an employee is leaving a company and be busy with wanting to get the position filled quickly. Be sure to provide an excellent offboarding experience for each employee.
Example 2: Not Leaving the Door Open to Employees
The company may want to think about leaving the door open for employees to come back and work. This could be a great opportunity because they are already familiar with the company but come back with experience that could help benefit your company in some way. In the exit interview, ask the employee, “What would need to change in order for you to come back?” A company is always trying to find people who bring high value to the workforce.
Example 3: Not Asking the Employee for Advice
When conducting an exit interview, you may want to ask for advice instead of feedback. Asking for feedback may put pressure on an employee. By listening to the advice given in the exit interview, will help to shape your organizational development road map.
This gives you an insider perspective that you may otherwise not come across. From the employee’s experience they will be able to share ideas that maybe you had not thought of before. In understanding the real reasons why the employee is leaving, will allow the company to improve in ways that would not have been thought about before.
Successful Offboarding Examples
Offboarding will be different depending on the person and situation. But in general, the best offboarding leaves everyone—employer and employee—feeling as positive as possible. Rather than disgruntled former employees, you should have lifelong brand advocates. Here are just three examples to give you an idea of what success looks like.
Example 1: Merger and Downsizing
Your IT company is undergoing a merger with a larger company, and higher management has ordered downsizing of employees. This has trickled down to your department, and some of your employees are being let go.Immediately make sure to communicate to your department about the layoffs, and explain to the employees why they’ve been let go.
Hold an exit interview where you ask what your department did well for its employees, and ask about workplace relations that worked well (or didn’t) for each employee.
Make sure to secure all sensitive company information and logins from your former employees, get their final payroll finished, and thank them for their efforts. One way to go the extra mile would be to try and refer them to another company, or a hiring service.
Losing one’s job is a stressful thing, and the easiest way to make sure former employees speak well about their old company is to immediately provide them with a chance for a new job.
Example 2: Seasonal Workers
It’s past the holiday season, and your retail store is laying off its seasonal workers. You have some vacancies for part-timers past the holidays, and after evaluating each employee’s performance have made a list of potential keepers.
For the employees who haven’t been offered to stay on, make sure to ask them what the company could’ve done better. Examples include asking about scheduling hours or whether pay was adequate.It’s also a good idea to offer an open door to being rehired for the next holiday season.
Former employees don’t need to be trained as much as fresh hires, and you save time on scouting and interviews. You should be leaving as smooth of a last impression as possible, to encourage your former employees to consider returning. Make sure their pay is promptly distributed, and thank them for their help.
Example 3: Termination Due to Underperformance
An employee at your company has been severely underperforming compared to their peers, and has started workplace altercations on several occasions. They’re highly resistant to attempts to reconcile or improve their workflow, and other employees are having their performance negatively affected.
You decide the best thing to do is to let them go.Even in this situation, where a firing is due to less-than-friendly circumstances, you should still be as professional as possible. Rather than point blame at the employee, explain that you feel your workplace isn’t a good fit for them.
Contacting HR with the reasons for dismissal is important for them to be able to prevent this type of firing in the future.In the exit interview, it would be a good idea to give the employee an evaluation of the type of workplace they’d perform better in, to help them get a better chance of landing a job they’re more suited for.
This also helps to keep the employee’s impression of your company good. A former employee who was let go due to bad circumstances but still has good things to say about their old job is excellent publicity.Find out how Eddy can help you manage employees
Topics
Emily Kranendonk
Emily is the HR Manager for PatientBond. She is the excited for the opportunity of creating an HR department with her current employer. Emily pursued a Master's in Human Resources from USU and comes with 4 years of experience from various companies. Emily serves as the Director of Social Media for the Salt Lake SHRM chapter.
Sinit Robiel (Scholarship Finalist)
View author pageFrequently asked questions
Other Related Terms
Eddy’s HR Mavericks Encyclopedia
HR Offboarding Guide
After an employee resigns or has been terminated, you will begin the offboarding process. This article will share with you why the offboarding process is important, what the process looks like and mistakes to avoid when offboarding.
What is Offboarding?
Offboarding is the process of ending a person's employement with a company, and can be applied both for people leave voluntarily as well as those who are laid off.
Key components of a good offboarding include:
- A respectful farewell
- Recovery of company assets
- Protection of company information
- An exit interview
- Processing final paycheck and reviewing benefits info
- Assistance with their next role
- Documentation of the whole process.
The Offboarding process happens after an employee resigns or is let go. The offboarding process begins with showing respect to the employee by completing the process properly and in a timely manner. When an employee has resigned or has been terminated the offboarding process begins immediately. Sometimes employees give a two-week notice and other times just a day. It is important to begin as soon as notification has been given that the employee is leaving.
HR will coordinate with the supervisor in offboarding the employee from the company, through conducting an exit interview and providing information on benefits, retirement, and other necessary legal documents. Remember, just like you ensured an employee had a positive experience with onboarding, you will want to make sure they have a positive, respectful experience in leaving the company.
Onboarding Versus Offboarding
Onboarding and offboarding are crucial processes for a company to get right. But don’t let the work required in the onboarding process lead you toward concluding that the offboarding process is simpler. Both processes are equally important. Both processes should be focused on treating the employee with a white glove, red carpet kind of experience. When done well, the offboarding process can be very eye opening.
HR professionals can learn a lot from their experience first hand. You can discover why an employee is leaving, such as having a negative experience with a supervisor, not having enough training, the workload was too much, not paid enough or as simple as wanting to feel a sense of belonging.
Why Is Offboarding Important?
Offboarding an employee is important for a number of reasons. Those reasons include showing respect for the employee, staying true to your company culture and mission, and leaving a good impression of your company with the former employee. We discuss each of these in greater detail below:
- Respect. Humans are the greatest asset a company could ever have. Employees are humans and deserve to be treated with respect whether they are leaving the company voluntarily or involuntarily. Some of the ways you can show respect is by being prompt with kicking off the offboarding process, listening to the employee when conducting the exit interview while looking for ways to implement the advice given by the employee. You can also show respect for the employee in the way you speak to them and communicate the desire to maintain an ongoing relationship even after they have left the company.
- Company culture. The way an employee is offboarded says a lot about your company culture. Think about what you want that experience to be like for each employee who leaves your company. Transitioning jobs for employees can be an emotional experience, especially if it is involuntary.
- Brand ambassadors. Employees who transition from your company become brand ambassadors for your company. As you show respect to the employee throughout their experience with your company, especially right up until the end, it will foster a greater desire in the employee to want to promote and recommend your company to other people who could potentially work there. They can help share their work experiences with potential employees. This can aid in finding a replacement for their position.
What Is the Offboarding Process?
The offboarding process is when an employee is transitioning out of a company. It’s the final chapter to the employee’s experience with your company and a great way to end on a great note. Keep in mind the offboarding process says a lot about a company in how they treat their employees when they leave whether it is voluntary or involuntary. The company can show employees that they are their most valuable asset by treating them with respect and dignity to the very end. The following steps will help you to start creating your offboarding process.
How to Communicate when an Employee Leaving the Company
An employee will either voluntarily or involuntarily leave the company. It will be important for the supervisor to contact HR to let them know the employee is leaving. If it is involuntarily, HR should already be involved—typically, HR should have already been notified, and created appropriate documentation of warnings and or performance improvement plans.
It is important for HR to be involved early on because they can help aid in protecting and supporting the employee and the company. This is done by making sure the process is done ethically, legally, and while avoiding discrimination.
How to Facilitate Knowledge Transfer when offboarding
The employee can assist with helping transfer the invaluable knowledge they gained while working their job. Communicate to the employee the valuable impact they could have as they are leaving the company by transferring their knowledge and experience. Invite the employee to document their knowledge so the new person coming into their role will not have to start from scratch. They could aid HR in the process of reviewing the job description, hiring a replacement, documenting processes, etc.
What are the components of successful offboarding?
The HR department will coordinate the employee’s departure from the company. There are several components to this step, including:
- Communication to other teams and remaining employees
- Completing an exit interview to get feedback on what you are doing well and what could improve as a company.
- Review documents including confidential agreements, health benefits, and retirement options.
- Returning company equipment.
- Contact IT to close all employee accounts and change passwords.
- Work with Payroll team to process final paycheck.
- Disable access to company buildings and property.
- Document paperwork, including any resignation letter or other any necessary paperwork. You will want to document whether or not this person could be considered for rehire.
- A respectful farewell can include a goodbye party or lunch. Or even a parting gift of company swag to wish the departing coworker luck in their next job.
How to Maintain a Relationship with Former Employees
In a way, former employees become brand ambassadors for your company. They will share the good and the bad. Be sure to end on a good note. Former employees can be a great resource for recruitment, either making referrals or choosing to return themselves. There could be opportunities for employees who have retired to come back part-time, or on an on-call basis.
The company can pair former employees who have retired with someone who is less experienced to mentor, teach, and share what they have learned. Just because an employee may leave your company involuntarily meaning they did not succeed in your company’s environment does not mean they cannot succeed in another corporate environment. There are still opportunities in which they can still impact your company for good.
But if employees who involuntarily leave and are disrespected when it happens, they will not be giving your company a positive review. Remember people might not always remember what we say but they will remember how we made them feel. So, think twice about how you treat others especially in these situations where emotions run high and you are cutting off their livelihood.
What To Do After Offboarding is complete?
HR and the manager can work together on deciding what needs to happen for the position the employee left open. Ask yourself and the manager the following questions:
- Do we need to backfill this position?
- Who will fill in with these responsibilities until someone is hired?
Take this opportunity to review the job description and training for this position. Take a look at how
Common Mistakes While Offboarding
Here are a few examples of potential mistakes that HR professionals will want to avoid when offboarding employees. In understanding, the importance of the offboarding process, is at the heart of what HR professionals do. It is critical that employees do not feel forgotten, remembered for the good they did, and that their opinion and experience matters.
Example 1: Employees Feel Forgotten
It’s easy to overlook when an employee is leaving a company and be busy with wanting to get the position filled quickly. Be sure to provide an excellent offboarding experience for each employee.
Example 2: Not Leaving the Door Open to Employees
The company may want to think about leaving the door open for employees to come back and work. This could be a great opportunity because they are already familiar with the company but come back with experience that could help benefit your company in some way. In the exit interview, ask the employee, “What would need to change in order for you to come back?” A company is always trying to find people who bring high value to the workforce.
Example 3: Not Asking the Employee for Advice
When conducting an exit interview, you may want to ask for advice instead of feedback. Asking for feedback may put pressure on an employee. By listening to the advice given in the exit interview, will help to shape your organizational development road map.
This gives you an insider perspective that you may otherwise not come across. From the employee’s experience they will be able to share ideas that maybe you had not thought of before. In understanding the real reasons why the employee is leaving, will allow the company to improve in ways that would not have been thought about before.
Successful Offboarding Examples
Offboarding will be different depending on the person and situation. But in general, the best offboarding leaves everyone—employer and employee—feeling as positive as possible. Rather than disgruntled former employees, you should have lifelong brand advocates. Here are just three examples to give you an idea of what success looks like.
Example 1: Merger and Downsizing
Your IT company is undergoing a merger with a larger company, and higher management has ordered downsizing of employees. This has trickled down to your department, and some of your employees are being let go.Immediately make sure to communicate to your department about the layoffs, and explain to the employees why they’ve been let go.
Hold an exit interview where you ask what your department did well for its employees, and ask about workplace relations that worked well (or didn’t) for each employee.
Make sure to secure all sensitive company information and logins from your former employees, get their final payroll finished, and thank them for their efforts. One way to go the extra mile would be to try and refer them to another company, or a hiring service.
Losing one’s job is a stressful thing, and the easiest way to make sure former employees speak well about their old company is to immediately provide them with a chance for a new job.
Example 2: Seasonal Workers
It’s past the holiday season, and your retail store is laying off its seasonal workers. You have some vacancies for part-timers past the holidays, and after evaluating each employee’s performance have made a list of potential keepers.
For the employees who haven’t been offered to stay on, make sure to ask them what the company could’ve done better. Examples include asking about scheduling hours or whether pay was adequate.It’s also a good idea to offer an open door to being rehired for the next holiday season.
Former employees don’t need to be trained as much as fresh hires, and you save time on scouting and interviews. You should be leaving as smooth of a last impression as possible, to encourage your former employees to consider returning. Make sure their pay is promptly distributed, and thank them for their help.
Example 3: Termination Due to Underperformance
An employee at your company has been severely underperforming compared to their peers, and has started workplace altercations on several occasions. They’re highly resistant to attempts to reconcile or improve their workflow, and other employees are having their performance negatively affected.
You decide the best thing to do is to let them go.Even in this situation, where a firing is due to less-than-friendly circumstances, you should still be as professional as possible. Rather than point blame at the employee, explain that you feel your workplace isn’t a good fit for them.
Contacting HR with the reasons for dismissal is important for them to be able to prevent this type of firing in the future.In the exit interview, it would be a good idea to give the employee an evaluation of the type of workplace they’d perform better in, to help them get a better chance of landing a job they’re more suited for.
This also helps to keep the employee’s impression of your company good. A former employee who was let go due to bad circumstances but still has good things to say about their old job is excellent publicity.Find out how Eddy can help you manage employees
Topics
Emily Kranendonk
Emily is the HR Manager for PatientBond. She is the excited for the opportunity of creating an HR department with her current employer. Emily pursued a Master's in Human Resources from USU and comes with 4 years of experience from various companies. Emily serves as the Director of Social Media for the Salt Lake SHRM chapter.
Sinit Robiel (Scholarship Finalist)
Frequently asked questions
Other Related Terms
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