Every blank you fill appears in the document as you type. Click a highlighted blank to jump to its field.
Fill in the blanks
0 of 5
The preview updates as you type.
Exit Policy
Exit Policy
Company Name
Effective Date
Policy Owner
Approved By
Notice Period
1. Purpose & Scope
(a)This policy establishes a structured and consistent framework for managing all forms of employee separation from the Organization, including voluntary resignations, retirements, end-of-contract separations, and involuntary terminations.
(b)This policy applies to all employees of the Organization regardless of employment type, grade, or location, including full-time, part-time, fixed-term contract, and probationary employees across all departments and business units.
(c)The Head of Human Resources shall serve as the policy owner and shall be responsible for ensuring that all exits are processed in compliance with this policy, applicable employment laws, and the Organization's contractual obligations.
2. Resignation & Voluntary Exit
(a)Employees who wish to resign shall submit a formal written resignation to their direct manager and the HR department, clearly stating the intended last working day in accordance with their contractual notice period.
(b)The standard notice period for voluntary resignations shall be as specified in the employee's offer letter or employment agreement. The Organization reserves the right to waive all or part of the notice period at its discretion.
(c)Employees who withdraw a resignation must submit a written withdrawal request to the HR department before the resignation has been formally accepted. Acceptance of a withdrawal request shall be at the Organization's sole discretion.
3. Exit Process & Clearance
(a)Upon confirmation of separation, the HR department shall initiate a formal exit process that includes knowledge transfer, handover of responsibilities, asset recovery, access revocation, and completion of the exit clearance checklist.
(b)The departing employee's manager shall be responsible for ensuring that a comprehensive knowledge transfer and handover plan is executed before the employee's last working day, covering all ongoing projects, key contacts, and critical documentation.
(c)The IT department shall revoke all system access, including email, VPN, cloud applications, and internal networks, by the close of business on the employee's last working day. Data on Organization-owned devices shall be securely wiped in accordance with the information security policy.
(d)The employee shall not receive their final settlement until the exit clearance checklist has been fully completed and all Organization assets have been returned. Outstanding dues or unreturned assets may be deducted from the final settlement.
4. Exit Interview
(a)The HR department shall conduct a confidential exit interview with every departing employee to gather feedback on the employee's experience, reasons for leaving, and suggestions for organizational improvement.
(b)Exit interview data shall be aggregated, anonymised, and analysed on a quarterly basis to identify trends in employee turnover, recurring concerns, and areas where the Organization can improve retention and engagement.
(c)The Organization shall use exit interview insights to inform its talent retention strategy, management development programs, and workplace improvement initiatives on an ongoing basis.
5. Final Settlement & Documentation
(a)The Organization shall issue all statutory and contractual separation documents, including the experience letter, relieving letter, and Form 16 or equivalent tax document, within 30 calendar days of the employee's last working day.
(b)All post-employment obligations, including confidentiality, non-compete, non-solicitation, and intellectual property assignment clauses, shall survive the termination of employment and shall be communicated to the departing employee in writing during the exit process.
(c)The Organization shall maintain a complete exit record for each departing employee, including the resignation or termination letter, exit clearance checklist, exit interview summary, final settlement statement, and copies of all issued documents, for a minimum of 7 years.
The guide
Everything you need to know about the exit policy
What Is an Exit Policy?
An exit policy defines the standardized process for handling employee departures, whether through resignation, termination, or retirement. It covers notice, handover, clearance, final settlement, and the exit interview. The policy ensures every departure follows the same orderly steps so knowledge is transferred, company assets are returned, and the employee leaves with accurate final pay and documentation, regardless of who is managing the exit.
Why Companies Need an Exit Policy
Departures handled inconsistently lead to lost knowledge, unreturned assets, delayed settlements, and disgruntled ex-employees. A structured exit policy protects the company by ensuring clearances are completed, access is revoked, and obligations like confidentiality survive the exit. Exit interviews also surface valuable feedback on why people leave. A smooth, respectful offboarding protects your employer brand and reduces the risk of disputes.
What an Exit Policy Should Include
Map the full offboarding workflow: resignation acceptance, notice period, and knowledge handover. Define the clearance checklist covering IT access, assets, finance, and library or ID returns. Specify final settlement components and timelines, experience and relieving letters, and the exit interview format. Include reminders of surviving confidentiality and non-compete obligations, and assign owners for each step so nothing is missed at departure.
A complete exit process covers acceptance of resignation, notice period and handover, a clearance checklist for assets and system access, final settlement, and issuance of relieving and experience letters. An exit interview and revocation of all access should also be part of it. Assign clear owners to each step.
Final settlement timelines vary by jurisdiction and company policy, but many organizations aim to complete it within 30 to 45 days of the last working day. Some labor laws mandate specific deadlines. State your timeline clearly and ensure statutory dues are paid on time.
Yes. Exit interviews reveal patterns behind attrition, such as management issues or compensation gaps, that you can act on to improve retention. Keep them structured and confidential, and aggregate the feedback so trends inform real changes rather than sitting unused in individual files.
Ready to get started?
Create an account and send your first screening link today. The free plan gives you 10 credits a month, with no card needed.
