Separation - Retirement
Purpose
The purpose of this policy is to ensure that long-standing employees are recognised, all relevant documents are completed, and all requirements are met and entitlements paid correctly.
[enter-your-company-name-here] recognises that retirement is an important milestone in an employees’ life. [enter-your-company-name-here] wishes to honour this time, and also to recognise the input and loyalty from long-standing employees who remain with [enter-your-company-name-here] until retirement.
The Federal Workplace Relations Act 1996 makes it unlawful to terminate employment, among other things, on the basis of age.
This policy applies to all permanent full-time and part-time employees.
Policy
[enter-your-company-name-here] will provide a working environment that will endeavour to encourage long-standing employees to remain with the company until Retirement.
Should an employee approaching retirement age wish to continue in employment, we should respect that wish and permit their continuance, with the following three clear provisos. These three conditions need to be made clear to such individuals, and each condition carefully monitored.
The three conditions are:
- the employee’s performance must be fully acceptable
- the employee’s health is not put at risk
- no-one else is put at risk in such continuance
Under the terms of our superannuation programs, and as required under applicable legislation, the age of 65 will remain the age at which superannuation benefits will cease to accrue.
Responsibilities
It is the responsibility of the [insert role title] to ensure that:
- retiring employees receive a letter recognising their contribution to [enter-your-company-name-here].
It is the responsibility of Management to ensure that:
- long-standing employees are recognised for their contribution to [enter-your-company-name-here]
- all required documentation is completed to ensure the employee receives all correct entitlements
- all company property is accounted for at the time of retirement
It is the responsibility of the Human Resources Department to ensure that:
- all documentation is completed to ensure employees receive their correct entitlements as soon as possible after the retirement has taken place
Procedure
An employee wishing to retire shall write a signed letter stating their name, the date of the letter, and date of retirement. The employee should give notice in accordance with their employment contract.
Discretion rests with the Manager regarding any relaxation of the period of notice.
The Manager should forward the letter of retirement to the Human Resources Department for processing and inclusion in the individual’s personal file.
The Human Resources Officer will prepare a letter to be signed by the Chief Executive Officer recognising the employee’s contribution to [enter-your-company-name-here]. This will be forwarded to the Manager who will arrange for it to be presented to the employee.
Termination payments
The Human Resources Department will arrange for Payroll to prepare a final payment at the completion of the notice period. The final payment will be made following the employee’s last day of work.
Payment on termination will be in accordance with the terms of the individual’s contract of employment. In the case of employees covered by an Award, provisions of the appropriate Award will apply.
In cases where the employer determines that the applicable notice period shall not to be worked out, payment is to be made in lieu. The payment must be in accordance with legislative and/or Award requirements. Where an employee requests early release from the notice period, and it is agreed by the manager, payment is made only for the time worked.
No payment is to be made if the notice period is worked out.
Certificate of service
As a rule, written references are not to be given to employees leaving [enter-your-company-name-here], however, a Certificate of Service may be given on request. In all cases, a copy of a Certificate of Service should be included in the employee’s personal file.
Exit interview
Feedback from employees leaving the organisation can provide valuable information on their perception of [enter-your-company-name-here] and the way it is managed. During the notice period, Managers must arrange for the employee to attend an exit interview. Any information obtained from an exit interview should be forwarded in writing to the Human Resources Department.
The Manager and the employee must complete a Termination Checklist detailing all company property to be returned and other internal issues to be finalised. It is the responsibility of the Manager to ensure that all company property has been returned before the employee receives their final payment.
All final documentation must be returned to the Human Resources Department for filing.