In some states (such as Georgia and Tennessee) an employer is required to provide an employee with a written separation notice when the employee’s employment ends—whether the employee is fired, laid off, or quits. In states in which a separation notice is required, it is often a one-page form document that is available on the state’s department of labor website.

A separation notice may be relevant when a former employee is applying for unemployment benefits or when a former employer is defending against a wrongful termination or discrimination claim. Although the employment of most employees in most states is at-will, an employer cannot fire or terminate an employee for an illegal or discriminatory reason (age, sex, race, religion, etc.).

For these reasons an employer should be familiar with the applicable law and may want to consult a lawyer when completing a separation notice or responding to a request for a separation notice.

In California, there is no statutory requirement for employers to provide a written separation notice to employees when they are terminated, laid off, or resign. Unlike Georgia and Tennessee, where specific forms are provided by the state's department of labor, California does not mandate such documentation as part of the separation process. However, employers in California must provide terminated employees with their final paycheck, which includes compensation for all accrued hours and any unused vacation time, in a timely manner as dictated by California labor laws. While a separation notice is not required, it can still be a useful document for both parties. It can help a former employee when applying for unemployment benefits and can serve as evidence for employers in the event of a wrongful termination or discrimination claim. Given that California is an at-will employment state, employers are prohibited from terminating employees for illegal or discriminatory reasons. Employers may still choose to consult with an attorney to ensure compliance with all relevant laws and to receive guidance on best practices for documenting the end of an employment relationship.