There are several reasons an employee could leave your company. Some retire, some quit, and some find better-fitting roles at other businesses. But sometimes – hopefully rarely – you’ll have to let someone go. Whether you’re laying off 50 workers or dismissing one person for cause, this is one of the toughest parts of HR’s job.
Employee separations can sometimes be painful, but they always require attention to detail. No matter why an employee leaves your team, you’ll have to follow certain steps in order to stay compliant. In some states, that means providing a formal separation notice.
What Is a Separation Notice?
A general separation notice is a written communication that says the employment relationship is ending. These notices can take many forms and could come from the employee or the employer. For example, a separation notice could be:
- An email from the employee giving their manager two weeks’ notice
- A form letter from the CEO to every individual employee who’s getting laid off
- A termination letter from HR to an employee to announce they’re being dismissed for repeatedly violating company policy
Sometimes, formal separation notices are a legal requirement. In 20 states, you’ll need to complete specific forms whenever an employee leaves the company.
These formal notices make it easier for employees to access unemployment benefits. Most forms outline the steps an employee should take to receive benefits. They also require employers to share all necessary details.
Pro tip: Use our termination checklist to keep track of important steps during the separation process.
State Requirements for Separation Notices
| California | All employees who are discharged, laid off, take a leave of absence, or have a similar change in their employment status must be given immediate written notice, along with Form DE 2320. This isn’t required in the case of voluntary termination or if work is stopped due to a labor dispute. | Sample Termination Notice (Meets Minimum State Requirements) Form DE 2320 — For Your Benefit, California’s Program for the Unemployed Form DHCS 9061 — Notice to Terminating Employees, HIPP Program |
| Colorado | At the time of separation, employers must provide a form employees can use to apply for UI benefits. | Employer Separation Form 22-234 – Notice of Potential Availability f Unemployment Insurance Benefits |
| Connecticut | Regardless of the reason for separation, all departing employees must be provided with Form UC-61. Employees must also provide employees with a copy of their termination notice and inform employees that they can submit a written statement disagreeing with its content. This documentation must be kept on file. | Form UC-62T —Unemployment Separation Packet/Notice |
| Georgia | Regardless of the reason for separation, employers must complete form DOL-800. This form must be delivered to the employee, signed, and dated on an employee’s last day of work or, if this isn’t possible, mailed to their last known address within three days. | Form DOL-800 — Separation Notice |
| Illinois | Employers must provide Form CLI111L to all employees separated from employment for seven or more days. The form must be delivered on an employee’s last day or sent to their last known address within five calendar days. | Form CLI111L —What Every Worker Should Know About Unemployment Insurance |
| Iowa | When an employee leaves or refuses employment and the employer believes they are not qualified for unemployment benefits, the employer must complete a Notice of Separation form, 60-0154. The Notice of Separation can also be filed online. | Form 60-0154 — Online Notice of Separation or Refusal of Work Under Conditions That May Disqualify |
| Louisiana | Regardless of the reason for separation, employers must file (online only) a separation notice within three days of the date of separation. This documentation includes an explanation of the cause of separation and details of payments made to the employee. | Form LWC-77 — Separation Notice |
| Maryland | Employers must provide separated employees a notice of UI availability. | Employer Letter or Email to an Employee about the Availability of Unemployment Compensation |
| Massachusetts | All employees separated from work, whether temporary or permanent, must receive Form 0590-A. This form must be delivered in person or sent to the employee’s last known address as soon as possible and within 30 days of separation. | Form 0590-A — How to File a Claim for Unemployment Insurance Benefits |
| Michigan | Form UIA 1711 must be provided at the time of separation unless employers are filing claims on behalf of the employee. This is not necessary if a copy of the form has been previously delivered to the employee or if a written statement, detailing the equivalent information, is provided. | Form UIA 1711 — Unemployment Compensation Notice to Employee |
| Nevada | Notice DETR-ESD must be provided to all departing employees at the time of separation. | Notice DETR-ESD — Employer Notification to Employees of the Availability of Unemployment Compensation |
| New Jersey | Regardless of the reason for separation, all employees who will be separated from employment for at least 7 days must be provided with Form BC-10. This form must be provided at the time of separation. | Form BC-10 — Instructions for Claiming Unemployment Benefits |
| New York | All employers subject to the state’s unemployment law must inform employees of their right to apply for unemployment insurance benefits. Regardless of the reason for separation, Form IA 12.3 must be completed for all employees who quit, are terminated, are laid off either temporarily or permanently, or have their hours reduced to 30 or fewer hours/week. | Form IA 12.3 — Record of Employment |
| Pennsylvania | Regardless of the reason for separation, employers must notify separating employees of the availability of unemployment compensation. Form UC-1609 details the various pieces of information that must be provided. | Form UC-1609, Employer Information |
| Rhode Island | All employers must provide notice to separating employees of the availability of unemployment compensation at the time of the employee’s separation from employment. Employers can give notice via flyer, text, letter, email, or other communication, provided upon separation. | Sample notice language |
| South Carolina | All employers must provide separating employees with a notice detailing UI availability, using a standardized form. | Notice of the Availability of Unemployment Insurance Benefits |
| Tennessee | Within 1 day of separation, employers must provide departing employees with Form LB-0489, unless the employee has been employed less than a week or will be recalled within a week. Employers must complete Form LB-0489, unless they have separately arranged to submit the date and cause of separation electronically, with a mail-in claim or a mass separation notice. | Form LB-0489 — Separation Notice |
This article is intended for informational purposes only and does not constitute legal information or advice. This information and all HR Support Center materials are provided in consultation with federal and state statutes and do not encompass other regulations that may exist, such as local ordinances. Transmission of documents or information through the HR Support Center does not create an attorney-client relationship. If you are seeking legal advice, you are encouraged to consult an attorney.
How Paycor Helps
Paycor’s HR software empowers leaders to make a difference. Our tools modernize every aspect of people management, including complex compliance issues. Customers can also access exclusive resources that keep you updated on changing state and federal regulations.