Voluntary Resignation: What Does it Mean?

At any moment, an employee may voluntarily resign from their job with a corporation. Individuals typically do so when they discover a better job with another company, retire from the workforce, resign in order to establish their own business, or simply desire to take a break from work.

Constructive dismissal, which is also referred to as constructive discharge or constructive dismissal, can also result in an employee’s voluntary resignation.

This suggests that the employee was compelled to leave the organization because of a lack of other employment.

Several factors could have contributed to this, including working under significant duress and difficult working conditions, which could have included a low salary and/or harassment, a new work location that was more than a reasonable commute distance from the employee’s home and increased work hours.

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In rare instances, an employee who quits their workplace freely may be obliged to submit their resignation verbally or in writing, which is termed advance notice. Prior to ending an employee’s contract, most sectors need a two-week notice period.

In certain cases, the employee provides notice at the time of termination or offers no notice at all, such as when an employee abandons their job or cannot return after an extended length of time.

What is Voluntary Resignation?

Voluntary resignation refers to a circumstance in which an employee voluntarily ends his or her contract or service with the business. It can be one of the most stressful circumstances for a manager, even more so if the resignation occurs when the manager is unprepared and one of the highest performing employees is departing.

However, it is frequently difficult to persuade an employee to alter his mind and reverse his decision, especially when the firm has little control over the situation.

Employees may leave their jobs for a variety of reasons. For instance, a change in personal circumstances such as family obligations or a desire to return to school, dissatisfaction with working conditions such as a hostile supervisor, a lack of recognition for work performance, and a lack of autonomy, challenge, or work relationships (among others).

A very prevalent motivation for voluntary resignation is to pursue a new and better job, often one that pays more or gives better career opportunities.

This is more frequently cited as a reason for leaving a job during periods of rapid economic growth and high labor market demand than during recessionary periods.

During recessionary times, or even during times of duress for a particular firm, companies undergoing downsizing may ask some employees to voluntarily resign in order to reduce the number of layoffs required.

In these instances, the employer may provide the departing employee an enhanced exit package, which may include additional weeks of severance pay, extended health insurance coverage, and other incentives.

In most circumstances, voluntary resignation prevents the employee from collecting unemployment benefits unless the employee quits for a “valid reason,” such as unsafe working conditions.

What are the Reasons for Voluntary Resignation?

Better opportunities

This is a circumstance in which one employee resigns because of a superior offer from another organization or corporation. This is especially common when the offer is too good to refuse or when the current employer cannot match a comparable offer. While it is frequently difficult for the organization they simply have to accept the departure.

Health concerns

These can cause either voluntary resignation from services that are supported or discouraged. Sometimes an employee cannot perform their job duties because of a variety of health issues. In this case, the employee may choose to resign in order to fully recover, as continued work may deteriorate his health.

Career advancement

Some employees may choose to leave voluntarily in order to pursue more challenging roles and advance their careers. This is a frequent occurrence when junior employees seek managerial positions.

A lot of people are yet to understand what a career path means: Career Path: Definition and How To Choose One

Personal conflict

Another reason an employee may choose to end his or her employment with an organization is because of unresolved or irreconcilable differences with the manager or other employees. Typically, some employees find it difficult to tolerate such an environment and thus voluntarily resign.

Employment conditions

Certain employees frequently resign when they believe their employer’s working conditions are substandard. They typically have expectations regarding job conditions, and when the employer cannot meet those expectations, they voluntarily resign.

Emotional and familial requirements

Additionally, some individuals depart from their professions because of severe emotional anguish and family concerns. In this situation, most of them always choose this choice to ensure that they have enough time to resolve their issues and reclaim a normal mental state that allows them to focus on their job and work environment.

Relocation

Additionally, some individuals resign from their positions in a company because of an impending relocation to another state, city, or country. This may make it more difficult for them to commute to work, prompting them to take the daring step of submitting a voluntary termination letter to the employer as he moves.

Stuck in a rut

Certain individuals, particularly those who have held the same post for an extended period, may feel the need for change because their career has likely reached a stalemate. This means that there are no opportunities for advancement or role changes, and hence they choose to resign in order to get experience outside of their normal employment.

Retirement

This is a situation in which someone leaves their employment because of old age or, more likely, exhaustion and a desire for rest. Retirement may come early for some, while others may choose to work until the designated retirement age. This suggests that a person may quit the work to rest or pursue other interests that may not require as much attention as the current employment does.

If you plan to retire, you need to work out your finances properly. Discover: Financial Planning For Retirement: Overview And How It Works

What is the process involved in Voluntary Resignation?

Voluntary resignation by an employee often begins with a verbal or written announcement to their supervisor about their intention to resign. Additionally, there may be an impression of job abandonment sometimes when an employee cannot report working for three consecutive days without telling a supervisor.

Employees who wish to resign from their position are normally asked to give at least two weeks’ notice prior to their last day on the job. This is a professional manner to manage resignation: it gives the company time to recruit a replacement employee and the employee time to prepare for the transfer.

When an employee submits their resignation notice, their supervisor should immediately forward it to human resources, along with the person’s expected end date and reason for departing.

Once human resources are contacted, the employee can expect to be asked to surrender the corporate property, finalize and submit final cost reports, have their post-termination benefits summarized for them, and scheduled for an exit interview. Supervisors may be required to complete a Supervisory Termination Summary, which is then forwarded to human resources.

What are the Categories of Voluntary Resignation?

There are two broad categories of voluntary resignation from employment:

Encouraged resignation

This is a type of resignation in which an employee leaves an organization after making an informed decision. Occasionally, a manager or management may determine that the employee’s services are no longer required by the organization.

In this scenario, the best course of action would be to meet with the employee and advise him of the decision to allow him to retire rather than face termination. The reasons for this can range from health concerns to redundancy, contract termination, and poor performance, to name a few. It is frequently employed as a face-saving tactic to assist employees in making such judgments before being ended.

Un-encouraged resignation

In contrast to resignation because of impending dismissal, an un-encouraged resignation is a type of voluntary termination in which an employee leaves with no formal or informal encouragement from the company or manager.

It occurs for the employee’s personal reasons, which appear to be a common occurrence in many firms. The grounds for this type of voluntary employment termination range from greener pastures, relocation, sabotage, working conditions, and health to a variety of other personal reasons.

However, it is critical to remember that if your firm experiences a wave of voluntary resignations; it shows that something is wrong with your business. This is the time to review and assess various parts of the business in order to determine why the trend is occurring.

More Definitions of Voluntary Resignation

Additional meanings of Voluntary Resignation are provided below;

1. Voluntary Resignation refers to the Executive’s voluntary resignation from the Company through the delivery of a Notice of Resignation. The term “Notice of Resignation” refers to a written resignation letter addressed to the Board and delivered to the Company in compliance with the terms of this Section 6.4.

The Resignation Notice shall specify the date of resignation and whether the Executive believes the resignation is for Good Reason. If the Executive believes that the resignation is for Good Reason, the Notice of Resignation shall also include in reasonable detail the Executive’s rationale for believing that the resignation is for Good Reason, including the elements of the definition of Good Reason that the Executive believes apply.

2. Voluntary Resignation means any termination of Executive’s employment with the Company on the Executive’s own initiative, including retirement, except for termination of Executive’s employment for Good Reason, which shall not be considered a “Voluntary Resignation” for the purposes of this Agreement.

3. Voluntary Resignation occurs when the Executive leaves Invacare freely and without being asked to do so by Invacare, except that any departure by the Executive will not be deemed to be Voluntary Resignation if the Executive had Good Reason to resign at the time of the resignation.

4. Voluntary Resignation refers to the Executive’s employment being terminated because of his voluntary resignation, which includes retirement, as defined in Section 3. APPENDIX I AUTHORIZED RELEASE This Legal Release (“Release”) is made between Advanced Energy Industries, Inc. (the “Company”) and (“Executive”) (individually and together, the “Parties”).

Conclusion

The reasons outlined in this article are the most often cited reasons for employees to quit from their current positions. Controlling voluntary resignation is a hard task, as most employees do so voluntarily. As long as the resignation process is carried out under applicable legislation, there should never be an issue.

It is critical, however, to always provide a seamless transition once a person resigns to preserve continuity inside the firm.

FAQs

Like resigning, you leave your place of employment voluntarily. … While quitting doesn’t always have to have a negative connotation, quitting instead of resigning typically means the company won’t hire you again in the future.

These benefits may include severance pay, health insurance, accrued vacation, overtime, sick pay, and retirement plans.

Employees—including those who work in HR—who strongly sense they may soon be terminated may try to get ahead of that decision by choosing to resign or be fired. Many career advisors and seasoned HR professionals agree that the best route typically is to give an employee the opportunity to resign before being fired.

No termination can be issued after accepting the resignation and conveying it to an employee.

In the end, a voluntary termination is one where the employee being let go has taken an action that has led to termination. This is typically a resignation, though a firing is also a voluntary termination.