Terminations can be performed at any point in your payroll processing cycle. For example, if someone will only be terminated in the next period, you can already set their termination date in the current period. The system will then keep creating payslips for the employee until the termination date is reached.
We do, however, strongly recommend that you set the termination date before finalising the employee’s last payslip as it may have implications for certain calculations. Once this last payslip is finalised, the employee will move to the inactive list.
You can record an employee’s termination as follows:
- On their profile, click on End Service
- Select the date of their Last Day of Service
- Select the UIF Status Code, if appropriate
Managing an Employee’s End of Service
Once an employee’s service has been ended, you can perform certain actions to manage this. You will need to click on the Inactive link at the bottom of the Employees list in order to get to a terminated employee’s profile. From their profile, click on Manage End of Service and then select the relevant option:
Cancel / Undo Termination
This option should be used in cases where the employee’s service did not in fact end and the termination was recorded in error. Undoing an employee’s termination removes all records of the termination and allows you to continue processing payslips for them as usual.
Please do not use this option in cases where the employee returns to work after a break in service – this should be recorded using the re-statement option discussed further on.
A termination can only be undone if the employee has not been re-instated and only the latest termination can be undone.
Update Termination Reason / Date
This allows you to edit the employee’s date of termination and / or the reason for the termination.
As with undoing the termination, this can only be done for the latest termination and only in cases where the employee has not been re-instated.
Re-instate the Employee
Use this option if an employee was in fact previously terminated, but is now being employed again. The system will record a new service period for the employee and will ask you for a new appointment date.
This option should also be used for employees returning from long-term absences during which they were still employed, such as maternity leave. In these cases, a new service period will not be created.
In each of the above instances, the employee’s next regular payslip will be generated for the period in which the reinstatement date falls.
Individual Form UI-19
Along with submitting your monthly UIF Declaration, you should also provide your employees with an employee-specific UI-19 form upon termination if they intend to apply to the UIF for benefits.
This downloadable PDF can be found on the Manage End of Service page under Service Period History. Please note that you can only download the form once the employee has moved to the Inactive employee list – this means that you must finalise all their payslips until the employee’s last day of service. If you have not finalised the employee’s final payslip, the UI-19 will remain blank.
For more information on the UIF please refer to the following help article:
Note: SimplePay pre-populates the individual UI-19 form and uses the Company Registration No. (CIPRO), SARS contact info and Postal Address fields completed under Settings > Employer Filing Details. Please ensure these fields are properly filled out before downloading the individual UI-19 PDFs for your employee.
SimplePay also generates UI-2.7 forms alongside individual UI-19 forms. These are applicable to employees that remain employed with the company, but are terminated on the system using the following UIF status codes:
- 9 – Maternity
- 9 – Adoption
- 10 – Long-term leave due to illness
- 17 – Reduced Working Time
- 18 – Commissioning Parental
- 19 – Parental
When selecting one of these codes, two additional fields will appear when ending an employee’s service:
Expected return date: This is the date that you expect the employee to return to work. It is imperative that this is completed correctly, as it is used to generate the UI-2.7 form. If the employee’s date of return is later extended, you will need to update it here in order to update the UI-2.7 form.
Paid During Temporary Absence: If you select this checkbox, the system will still generate payslips during the employee’s period of absence, and no UI-2.7 form will be available. If you do not select this checkbox, no payslips will be generated for the employee during their period of absence and a UI-2.7 form will be generated for the employee.
To download the UI-2.7 form generated by SimplePay:
- Go to the employee’s profile after ending their service.
- Click on Manage End of Service.
- Click on the PDF icon under Service Period History.
The first page of the PDF document will be your UI-19 form and the second page is the UI-2.7 form.
When you make changes or updates to an employee’s termination, a new UIF Declaration will be generated for the period affected by the change, assuming that the UIF Declaration for the period was previously finalised. If the UIF Declaration is unfinalised when making changes to an employee’s termination, the UIF Declaration will automatically be updated with the latest information overriding the previous information.
For more information on UIF Declarations, go to:
You may be required to make certain additional / special payments to the employee upon / after their termination. These are discussed in detail in the following section: