How long does an employer have to pay Termination pay?

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How long does an employer have to pay Termination pay?

Circumstances arise that might warrant the immediate termination of an employee by the employer. Naturally, before an employer terminates an employee, they ought to give notice of the termination.

When they fail to give the employee to be terminated termination notice upfront, they have to pay termination fee in lieu of the termination notice. If it boils down to the termination pay, there are rules that govern the termination pay of an employee.

Specifically, employers have two options they can follow when it comes to how long they have to pay termination pay. The first is make the termination pay within the space of 10 consecutive days that follows the pay period after the termination. The second option is to pay for 31 consecutive days that follows the last employment day.

What is Termination without Notice?

While no one would love to be terminated without notice, it sure seems like a thing and I’ll show you what it means. Termination without notice is simply the way it sounds- getting fired or resigning from your current job without prior notice to your boss or the employee (depending on the context).

Now, let’s break it down a bit. For starters, if you need to switch jobs or fly out of the country urgently but can’t because of your job, then you send a resignation email or letter to your boss or HR terminating your employment that day, that’s an instance that falls under “termination without notice”.

But it goes both ways. If your boss sends a termination of appointment letter to you out of the blues, it also falls under the “termination without notice” instance.

Can an employer terminate an employee without notice?

Yes and No and it’s all tied to the type of employment an employee is under. There are generally two types of employments. There’s the At-will employment and the contract employment.

At-will employees are like full-time employees. While this sounds great, they are at higher risk of their employment being terminated without warning.

That’s why you can randomly see headlines where a company lays off a number of employees without notice. On the other hand, there’s the contract employee whose employment cannot be terminated without notice.

An employer cannot terminate a contract employee without notice, especially if it’s breaches the terms of the signed contract.

Also, unless the contract is over, an employer cannot terminate a contract employee without notice. They might find a way around it, but there has to be prior notice before termination. The reasons is, contract employees are protected under the law.

What’s the Difference between terminated and fired?

While it might seem like there’s no difference between the terms “terminated” and “fired”, there are subtle differences. At the base, they both refer to the same thing- the end of an employment. However, the context and process to both differs a lot.

Here’s what I mean. When an appointment is terminated, it could either be done by the employee or the employer.

For instance, if an employee doesn’t want to keep working with an employer or they have to leave their job for a reason, they can submit their resignation letter to their boss or HR to terminate their employment.The employer can also do the termination. However, in the context of getting fired, the employer delivers a sack letter to an employee, against the employee’s wish.