Resignation after Involuntary Termination

Terminations are classified as follows:

  • Voluntary: When an employee resigns on their own or has a resignation submitted on their behalf by a manager (typically when the employee cannot access the system)
  • Involuntary: When an employee is terminated due to workforce reductions, layoffs, or redundancies.

Employees can choose to resign through the Resignation UI, even when an involuntary termination is already submitted. When this happens, the application performs the following actions:

  • Corrects the termination date based on the resignation date.
  • Corrects the termination type from involuntary to voluntary.

You now have the option to enable or disable this existing resignation feature for employees who already have future involuntary terminations scheduled.

This new functionality offers the following valuable business benefits:

  • Improved Employee Experience: Provides employees with agency and dignity by allowing them to officially resign rather than being terminated, which can be better for their professional record and emotional well-being.
  • Administrative Efficiency: Reduces manual processing work for HR teams who would otherwise need to handle separate resignation requests and cancel planned terminations.
  • Accurate Record-Keeping: Ensures termination records accurately reflect the true nature of the employment separation (voluntary versus involuntary).
  • Potential Cost Savings: May reduce unemployment insurance claims and related costs in jurisdictions where voluntary resignations are treated differently than involuntary terminations.
  • Simplified Offboarding: Creates a more streamlined process when employees decide to leave before a planned termination date.
  • Flexible System Control: Gives HR administrators the ability to enable or disable this feature based on organizational policies or specific circumstances.
  • Reduced Legal Risk: Properly documented voluntary resignations can potentially reduce wrongful termination claims.
  • Better Data for Analytics: Provides more accurate workforce analytics regarding true voluntary versus involuntary turnover rates.

Steps to Enable

To disable the default behavior that allows workers to change an involuntary termination to a resignation, set the ORA_PER_EMPL_INVOL_TERM_RESIGNATION_ENABLED profile option to N.
With this setting disabled, workers are directed to a read-only View Resignation page, preventing them from submitting a resignation.
By default, this profile option is set to Y, allowing workers to submit a resignation even after an involuntary termination has been submitted.

For more information, see the How do I enable a profile option? topic.

Tips And Considerations

  • Edit by Approver functionality: not yet available for Resignation after Termination transactions.

  • Clear Communication: Ensure clear communication of this feature to all workers and managers to maximize its effective usage.

  • Policy Compliance: Verify that the application of voluntary resignations in place of involuntary terminations complies with relevant labor laws and internal company policies.

  • Training and Support: Provide adequate training and resources to HR personnel and managers to handle this feature effectively.

  • Monitor Impact: Regularly monitor the impact of this functionality on employee satisfaction and financial outcomes to identify potential areas for improvement.

  • Documentation: Maintain accurate documentation of all adjustments to termination records to ensure transparency and ease in audits or reviews.

Key Resources

 For more information, refer to the Security Reference for HCM guide on Oracle Help Center: Security Reference for HCM

Access Requirements

To configure any profile options you need to have an Human Capital Management Administrator role.