Cessation of Employment

Resignations can be a complex interaction of management, HR and legal issues. Look below at some key considerations and resources available to Ibec members. This is meant to serve as a resource guide only. For up-to-date information, members should always check with their dedicated ER advisor, the knowledge centre or seek legal advice.

Note: for the online resources mentioned in this article, you will need web access. No web access? No problem. Just get in touch with me or email crm@ibec.ie.

Notice

What is Statutory Notice?

Statutory notice refers to the minimum notice period required by law when an employer or employee terminates an employment contract. The length of the notice period depends on the employee’s length of service with the company. For example:

• 13 weeks to 2 years: 1 week
• 2 years to 5 years: 2 weeks
• 5 years to 10 years: 4 weeks
• 10 years to 15 years: 6 weeks
• 15 years or more: 8 weeks

While employers are entitled to notice periods based on the above guidelines, employees are generally only required to give one week’s notice under the Minimum Notice Acts. This can be adjusted through employment contracts. You can check out our employment contract resources, including a sample contract, here.

Ibec members can access more information on notice period FAQs here.

Tired of reading? Why not watch or listen to this webinar on the topic of giving or receiving notice here.

The issue of retraction

Employees may sometimes change their minds after resigning, leaving employers in a position where they must decide whether to accept the retraction or proceed with the termination of employment. While employers are generally not obligated to accept a retraction, several considerations and best practices can guide their response.

A full examination of the issue of retraction and other pressing HR management issues can be found on the Ibec employer hub.

Dealing with remaining annual leave

If an employee ends their employment with unused annual leave, the employer must compensate them for the remaining balance. If, on the other hand, the employee has taken more leave than they were entitled to, the employer is permitted to deduct this from their final pay. However, it should be noted that this deduction must be outlined in the employee's contract of employment and agreed to by the employee. Check out the resources on contracts above.

Ibec members can find more information on annual leave entitlements, including for employees leaving employment, here.

Other forms of cessation

There are different approaches needed depending on if an employee gives notice, or if an employee is going through retirement, redundancy or dismissal. Ibec members can find an overview here.

Seek guidance if needed

If you’re unsure about any aspect of the cessation process—whether it’s leave balances, public holidays, or deductions from final pay—consult your ER advisor in Ibec or contact our Knowledge Centre directly.

Managing the cessation of employment is an essential responsibility for employers, requiring attention to detail and a clear understanding of employee entitlements. This in turn allows employers to foster positive relationships with departing employees.

Key HR resources

• Online resources: Ibec provides members with a comprehensive overview of HR management through the HR Management Guide.
• Events: Ibec regularly hosts webinars and events on HR topics, check out upcoming events here.

KC Connect in 15

• Webinars: Our KC Connect in 15 is a series of short webinars designed to inform and keep our members up to date on essential HR topics. These are recorded and made available for members to watch back on demand.
• Podcasts: We also have the KC Connect podcast series to keep you up to date.

Conor Gibbons

Executive, Ibec Networks

conor.gibbons@ibec.ie