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Resignation Workflow – Definition, Process Steps, and Best Practices

What is Resignation Workflow?

Resignation Workflow is the structured (but often bittersweet) process of gracefully bowing out of a job—like unwinding a work relationship with as few loose ends as possible. It’s the checklist both you and your employer follow once you drop the “I quit” bomb: handing in notice (two weeks? a month? depends on the drama level), tying up projects, passing the baton to coworkers, returning that crusty laptop and keycard, and sitting through an exit interview where HR asks, “Why are you really leaving?”. It’s the corporate equivalent of a breakup protocol—awkward but necessary, ensuring nobody’s left scrambling, secrets stay safe, and your final paycheck doesn’t ghost you.

Common Steps in a Standard Resignation Workflow

Resignation submission: The employee submits a formal resignation via email, a resignation form, or through the HR platform. It will contain important data such as the last working day, the reason for leaving, and the commitment for handover.
Manager Acknowledgement: The reporting manager acknowledges the resignation and provides feedback/counter offers if any. Otherwise, they include a conversation about possible retention.
HR Notification and Review: HR receives the notification and starts the processing. They check if the notice has been complied with, as well as benefits and other legal terms tied to the employee’s contract.
Approval Workflow: A multi-level approval process is triggered. This typically involves the reporting manager, department head, and HR business partner. Systems such as Workday or SAP may automate this.
Knowledge Transfer Planning: The resigning employee is assigned tasks for the handover session and mentoring a replacement, if available.
Asset Return and Clearance Process: Notify IT, Admin, and Finance about clearance. The employee returns ID cards, devices, tools, and access rights, and settles financial dues.
Exit Interview and Feedback: The exit interview is then scheduled by HR to elicit honest feedback. It helps in improving retention strategies and the workplace environment.
Final Settlement and Documentation: HR initiates the processing to finally pay, generate service letters, and complete full and final settlements. All relevant documents are signed and shared with the employee.

Staff Resignation Process

Formal Submission of Resignation: An employee should submit a written resignation via email or through HR systems, indicating in the notice the last working date as per the contractually defined notice periods.
Supervisor Discussion and Feedback: The supervisor might engage in an informal discussion to gauge the real reason and possibly assess if the employee could be retained. If resignation ensues, acceptance is noted in HR.
HR Eligibility Check: HR checks the employment history to confirm that the resignation conditions are indeed met; probation has been completed, minimum tenure clauses have been fulfilled, and no bond will be pending for recovery.
Task and Handover Checklist: The employee is given a checklist that needs to be completed before final exit. This involves work log completion, file handover, updating SOPs, and announcing handover to either the replacement employee or the team leader.
Departmental Clearance: Employee clearance is formally signed off either from IT (for devices, credentials), Admin (for badges, access cards), or Finance (for loans or reimbursements).
Final Exit Interview and Feedback: HR can run a basic exit interview in person or through a simple online questionnaire to register attrition reasons and possible improvements needed.
Documentation & Full & Final Process: After clearance and applicable tasks, HR hands over experience certificates, service letters, and FnF details. Payroll processes the final salary with relevant deductions or adjustments.

Challenges in Resignation Workflow

Task Closure: Employees can leave without performing certain handover tasks or completing certain clearances if such tasks lack real-time tracking capabilities or accountability checkpoints in the workflow.
Manual Dependencies: In the absence of automated systems for HR documents, errors in documentation, missed steps, and lack of visibility into what is going on with the workflow can be commonplace.
Data Inconsistency: Inconsistent employee records, notice periods, and contract data can disturb workflow accuracy and lead to wrongful settlements or policy contraventions.
Deviation from Policy: Managers accepting resignations without consulting HR, or allowing exits without formal approval, might result in conflicts with regulations.
Skipping Exit Interviews: Employees sometimes intentionally skip exit interviews or submit incomplete feedback, which diminishes the retention analytics insight.
Gaps in IT and Security: In other cases, access to systems remains par for the course even post-departure, presenting a security risk when offboarding is delayed or overlooked.