When a person leaves a company, irrespective of the reason, it is sure to trigger a good amount of incoming work for the HR department of that company. Right from managing all the apt records to reverting to queries for information in relation with the resignation’s clause, HR ought to manage all.
This is where an HR software comes into picture, as it can ease this immense burden of employee separation. For example, an intelligent HR software with a built-in module for full and final settlement will help the HR respond quickly to all the requests pertaining to the separation of the employee from the company whilst keeping a track of the process from the beginning to end. Here’s how a good HR software can assist in managing the most common yet sensitive facet of human resources management.
- Intelligent and Automatic F&F Calculations
Since HR people are the ones, who initiate the full and final settlement process, having an HR software is a smart thing, since it calculates full and final payables for the employee along with receivables in an intelligent and accurate way. HR software calculates all the critical payroll aspects like unpaid salary, medical, LTA, gratuity, balance leaves, bonus, etc. All at the click of a button. Most importantly, the HR software will automatically deduct the tax amount the employee is liable for from his full and final settlement dues and accordingly update the Form 16 and worksheet.
- Calculates recoverables
An employee when quits a company, he/she is entitled to claim for important recoveries during the exit. Since full and final settlement is one hectic task, having a good HR solution in place is no less than a blessing in disguise for the HR people, since it would calculate all recoverables in a matter of seconds thus, paving way for quicker and smoother exit process for both the company as well as the employee.
- One-stop hub for employee documents
Having instant access to proper records is one of the critical aspects during a full and final settlement process. HR software ensures that you have a formal copy of the resignation along with the necessary documents in place. In case the employee is fired, it is imperative to maintain documentation and communications. You can track all the relevant documents and forms pertaining to the layoff of a particular employee using the HR software along with exit interview documents. You always have the option of adding up relevant notes/comments to these documents.
Long story short, HR software offers you a bird’s eye view of the entire (F&F) full and final settlement process. Lastly yet importantly, it provides an information-rich F&F letter briefing the entire settlement process.
These are few prominent instances of how HR software can simplify employee separations for both employees as well as businesses.