[Timmi Absences] Managing the departure of an employee – employee settlement

Before getting started

When an employee leaves, there are two things that you need to do:

• Add a contract end date in the user file for the employee concerned.
• Complete their employee settlement.

The employee settlement in Timmi Absences can be used to delete leave requests pending approval and requests entered for after the contract end date. It can also be used to reset leave balances and to enter absences to be paid to the employee into payroll.

This article covers the following points: 

• What actions should be taken when an employee leaves?
  • Indicate their contract end date
  • Employee settlement
• What to do when an employee who has left the company comes back?

Indicate their contract end date

1. Go to Employees
2. Search for the relevant employee
3. Indicate their contract end date (in the Contract section)
4. Save.

Employee settlement

Manual employee settlement

In Timmi Absences, employees who have a contract end date entered, and who have not yet had an employee settlement related to this contract end date can be found in the Credit/Debit module, in the Employee settlement tab.

Simply select one or more employees and click on Settle balance. Timmi Absences guides you through 3 stepsto settle their balances.

1. Process pending requests and absences after the contract end date

In this initial step, Timmi Absences can be used to process leave requests or leave cancellation requests from the employee. Absences can be approved or denied.

At the end of this step, absences beyond the contract end date will be automatically deleted.

2. Adjusting accruals and resetting balances

In this second step, Timmi Absences displays accounts with a positive balance at the contract end date, as well as accounts requiring an accrual adjustment. Adjusting the accrual either corresponds to the accrual remaining until the contract end date, or the potential accrual adjustment in the event of overpayment. This "Accrual adjustment" value can be edited.

For a departure during the month, Timmi Absences will prorate the number of paid leave days to be credited, by dividing the monthly accrual by the number of business days, and then multiplying by the number of days worked. In summary, Timmi Absences will make the following calculation:

Monthly entitlements x number of business days of employee attendance / number of actual business days of the month of entry.

Example 1 – An employee is leaving on June 14, 2024.

The month of June has 20 actual business days and the employee will therefore be present for 10 business days (according to the contract end date). They have the 25 paid leave accrual profile, thus a typical monthly credit of 2.08 days.

Timmi Absences applies the following calculation: 2.08 x 10 / 20 = 1.04
2.08 days to be credited x 10 business days worked / 20 actual business days over the month = 1.04 days to be credited

This will then be rounded up or down as per the rounding rules set in Timmi Absences.

At the end of this step, the adjustments are applied and the balances reset.

3. Displaying absences to be entered into payroll

In this step, Timmi Absences displays absences that have not been exported to payroll in previous exports.

Click on Complete the employee settlement to finalize the operation.

Skip employee settlement

You can skip employee settlement for one or more employees so it no longer appears in the list of employee settlements to be completed. This can be useful, for example, for successive contracts if you do not want to reset an employee's balance.

Select the relevant people and click on "Skip employee settlement".

The selected employees will appear in the list of completed employee settlements with the "Skipped" comment. You can restore this employee settlement by clicking on the arrow.

Cancel an employee settlement

When an employee settlement has been completed, it is visible in the list of completed employee settlements. If you want to undo this, you can cancel it. This will cancel any balance adjustments and resets that have been made. However, this does not undo leave approved and/or refused during employee settlement. For grouped employee settlements, it is possible to cancel the entire batch or just the settlements of certain employees.

What to do when an employee who has left the company comes back?

The first thing to be aware of is that there is no need to create two user files for the same employee.

In actual fact, a user sheet is never deleted in Timmi Absences. You can find a person at any time by checking "Include former employees" in the Employees > HR file module:

To reactivate it, simply create a new contract for the employee concerned and update the necessary information (contract start date, department, occupation category etc.).

Please note that you should not simply edit the end date of the previous contract. Instead, you should create a new contract:

The record is then reactivated for the employee, who keeps their old login and password.