The last paycheck includes all wages for hours worked through the end of the termination date. In some cases, this paycheck will include accrued but unused vacation, severance, and other payments.
Employers should work with their payroll provider to calculate the correct amount for the number of days worked in the final pay period before termination, plus any PTO amounts that must be paid out, and minus any deductions.
Administrators should contact their payroll provider for assistance in calculating the amount of an employee's last paycheck. Those with Zenefits Payroll should refer to these instructions.
Severance pay is additional payment (and potentially benefits) paid to the terminated worker upon termination. Severance packages may be predefined through agreements between the employer and the individual, or defined solely by the employer.
Terminated workers are not always entitled to severance pay upon termination, and employers are (in most cases) not legally obligated to provide severance. However, in certain circumstances (such as mass layoffs), terminated workers may be entitled to severance. Employers should always consult with their legal counsel regarding severance pay.
Zenefits currently does not support severance packages or any other payment at termination for companies who use third-party payroll provider. Those who have Zenefits Payroll, however, can add severance pay in both regular and off-cycle runs.
Yes, Administrators can cancel a scheduled termination up until one (1) day before the termination date. If it is less than one day before the scheduled termination, Admins should contact Zenefits Support.
To cancel a scheduled termination, go to the employee's profile and select "Cancel Termination" in the top notification bar.
Administrators can terminate workers even if they are still setting up benefits. If someone is terminated before benefits are set up in Zenefits, the administrator will need to provide additional information about the following items:
If the worker is enrolled in medical, dental, or vision coverage, the administrator will need to specify when they want the benefits to end. Administrators who choose to manage COBRA coverage will also need to provide some additional information to complete the termination process.
Zenefits does not administer unemployment benefits and is not involved in the unemployment benefits application process.
Workers who quit are not eligible for unemployment.
Contact Support to determine which administrator or manager terminated a particular worker.
Workers who have been terminated in Zenefits can still access the Personal Information app in their dashboard. The Personal Information app will include any signed employment documents, agreements with the company, bank info, tax forms, benefits agreements, and basic contact information. If the company had payroll with Zenefits, then the worker can view paystubs and W2's.
If a worker has logged work hours, but has not completed the onboarding process, regardless of the hire date, you will have the option to Terminate them from the Actions drop down menu on their profile.
At-will employment means that employers are able to terminate a worker at any time, with or without "just cause," as long as termination is not discriminatory.
Note:
Zenefits does not provide legal guidance on the terms of employment or termination. Please seek legal counsel for any legal or compliance questions relating to at-will employment or termination.
You should initiate the termination process in Zenefits after you've formally terminated the worker in person according to the company's termination policies. Termination in Zenefits simply updates the worker's status across all of Zenefits and with any third-party entities, such as insurance carriers and Flex Benefits providers.
Zenefits does not provide advice or guidance on terminating workers (e.g., acceptable grounds for termination) except with regard to beginning or completing Zenefits-specific processes, such as COBRA enrollment. Please consult legal counsel for advice on best practices for compliance when terminating workers.
If a worker is terminated, their deductions or other payroll information will stop being pushed to payroll on their termination date.
In Zenefits, administrators can terminate any worker, including managers. Managers can submit a termination request for their direct reports, and subordinates of those reports. The request is sent to the appropriate approver for review and approval. Aside from this approval step, the termination process in Zenefits is essentially the same for both managers and administrators.
Administrators can edit termination classification and reason after the termination date has passed.
If a termination for someone needs to be rescinded, or someone was terminated in error, the termination needs to be revoked.
If the terminated employee was not enrolled in any Benefits or FlexBenefits through Zenefits, you can revoke the termination and make someone Active in Zenefits again:
Please note: If the terminated employee enrolled in any benefits products, you will need to contact the Customer Care Support Team.
To update a termination date, similarly if the employee was enrolled in any Benefits products, please contact support to revoke the termination. Then you can submit the termination again with the correct date.
If the employee was not enrolled in any Benefits products through Zenefits, you can edit the Termination Date by:
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