Can I terminate an employee without pay?

Can I terminate an employee without pay?

We do not have an option to terminate an employee without pay. We have a workaround for this.

In case you want to terminate an employee without paying them,

  • Go to the Employees module from the left sidebar.
  • Select the employee you want to terminate.
  • Click More and select Terminate Employee. You will be taken to a page where you need to provide:

    • Last Working Day
    • Reason for Termination
    • Final Settlement Date - Decide the date on which you want to make the payment.
    • Contact Email Address - Form 16 and the final payslip will be sent to this email.
    • Notes (if any)
  • Click Proceed.

You will be taken to a Termination Payroll page where you need to:

  • Enter 0 as the payable days.
  • Enter 0 for all the other deductions.
Termination Details
  • Under Notes, enter the reason for terminating the employee without pay.
  • Click Save and Continue.
  • Click Submit and Approve to approve the termination pay run.
  • Click Record Payment and select the employee’s last working day as the paid date.
  • Click Confirm.

You need not pay the employee’s full and final settlement.