LOGO Employee Termination Policy Purpose It is the policy of Cabin Creek Health Systems to ensure that employee terminations, including voluntary and involuntary terminations and terminations due to the death of an employee, are handled in a professional manner with minimal disruption to the workplace. At-Will Employment Employment with Cabin Creek Health Systems is voluntary and subject to termination by the employee or Cabin Creek Health Systems at will, with or without cause, and with or without notice, at any time. Nothing in these policies shall be interpreted to be in conflict with or to eliminate or modify in any way the employment-at-will status of Cabin Creek Health Systems employees. Voluntary Terminations A voluntary termination of employment occurs when an employee submits a written or verbal notice of resignation to his or her supervisor or when an employee is absent from work for three consecutive workdays and fails to contact his or her supervisor (job abandonment). Procedures 1. Employees are requested to provide a minimum of two weeks' notice of their intention to separate from the company to allow a reasonable amount of time to transfer ongoing workloads. The employee should provide a written resignation notification to his or her manager. 2. Upon receipt of an employee's resignation, the manager will notify the human resource (HR) department by sending a copy of the resignation letter and any other pertinent information (i.e., employee's reason for leaving, last day of work). 3. The HR department will coordinate the employee's out-processing. This process will include the employee's returning all company property (computers, documentation, keys, etc.); a review of the employee's post- termination benefits status; and the employee's completion of an exit interview. 4. The employee's manager will complete a Supervisory Termination Summary and deliver the completed form to HR. 5. Employees who possess a security clearance (security codes to the building, computer passwords, etc.) must meet with administration for a debriefing no later than their last day of employment. Involuntary Terminations An involuntary termination of employment, including layoffs of over 30 days, is a management-initiated dismissal with or without cause. The inability of an employee to perform the essential functions of his or her job with or without a reasonable accommodation may also result in an involuntary termination. An employee may also be discharged for any legal reason, including but not limited to: misconduct, tardiness, absenteeism, unsatisfactory performance or inability to perform. 1 Procedures 1. Before any action is taken to involuntarily discharge an employee, the employee's manager must request a review by HR and the employee's immediate supervisor. 2. The termination review staff will be responsible for reviewing the circumstances and determining if discharge is warranted. If the staff recommends discharge, the employee's manager and an HR representative will notify the employee. The employee's manager should complete an Employee Change Form and notify HR and payroll of the last day worked by the employee. Death of an Employee A termination due to the death of an employee will be made effective as of the date of death. Procedures 1. Upon receiving notification of the death of an employee, the employee's manager should immediately notify HR. 2. The benefits administrator will process all appropriate beneficiary payments from the various benefits plans. 3. The employee's manager should ensure that the payroll office receives the deceased employee's timecard. Final Pay An employee who resigns or is discharged will be paid through the last day of work, plus any unused paid time off (PTO), less outstanding loans, advances or other agreements the employee may have with the company, in compliance with state laws. In cases of an employee's death, the final pay due to that employee will be paid to the deceased employee's estate or as otherwise required under state law. 2