Simplifying State Separation Notice Compliance
A separation notice is exactly what it sounds like—documentation provided to employees when leaving the company. Most separation notices function to inform employees of their rights related to unemployment benefits. Although separation notices may sound relatively straightforward, the requirements vary from state to state.
As of June 2024, 20 U.S. states require employers to provide separation notices to employees, regardless of the reason for their departure. Each of these states has its own requirements regarding documentation, including delivery method and timing stipulations. Additionally, many state-mandated forms require data that isn’t readily available, making it difficult to leverage non-specific technology to ensure separation notice compliance. Together these factors present employers with a unique challenge.
Given the complexity of separation notice requirements, a Colorado-based food production company sought a better way to manage their employee separation notice distribution process. The organization’s existing process included manually gathering the necessary information per state requirements, then using a mail-merge program to generate the separation notices. Because this was a cumbersome process, the company sought a more efficient, automated solution.
Though the company understood the importance of prioritizing this part of the separation process, it was often overshadowed by more urgent offboarding tasks. To alleviate the administrative burden that separation notice preparation and delivery placed on its Payroll team, the company turned to Onwards HR. The Separation Notice Automation product would help ensure compliance with state-specific laws related to terminations by leveraging automated technology to help customize and distribute these notices.
After implementing Onwards HR’s separation notice product, the company reduced its time spent on separation notices by 80 percent. This has enabled the Payroll team to shift its attention back to higher-priority tasks, knowing separation-related documentation would be promptly and accurately delivered.
Want to simplify your State Separation Notice process?
We’ve got you covered. Onwards HR’s Separation Notice product enables employers to dynamically generate state-specific separation notices using data directly from their HCM platforms. Even better, these notices are automatically delivered to the relevant employees. By automating this heavily administrative requirement, your process is more compliant, your team has more time, and your employees get the information they need to understand and apply for unemployment insurance.