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Cessation Reason Types

Owned by Jessie Du
Last updated: Jan 24, 2022
3 min read

The reporting of cessation reason that ended the employment or engagement relationship between the payee and the payer is aimed to minimise the need for payers to provide separate payee employment separation certificates to Services Australia.

The permissible values for cessation types are as follows:

  • V (Voluntary Cessation) – an employee resignation, retirement, domestic or pressing necessity or abandonment of employment

  • I (Ill Health) – an employee resignation due to medical condition that prevents the continuation of employment, such as for illness, ill-health, medical unfitness or total permanent disability

  • D (Deceased) –the death of an employee

  • R (Redundancy) – an employer-initiated termination of employment due to a genuine bona-fide redundancy or approved early retirement scheme

  • F (Dismissal) – an employer-initiated termination of employment due to dismissal, inability to perform the required work, misconduct or inefficiency

  • C (Contract Cessation) – the natural conclusion of a limited employment relationship due to contract/engagement duration or task completion, seasonal work completion, or to cease casuals that are no longer required

  • T (Transfer) – the administrative arrangements performed to transfer employees across payroll systems, move them temporarily to another employer (machinery of government for public servants), transfer of business, move them to outsourcing arrangements or other such technical activities.

When is an employers required to make the change on the application ?

i. For employees who have been terminated in the current FY. 

ii. For employees who have been terminated in the previous FY require an amendment STP Update Job.

How do I select the employees STP Termination Reason on the application?

Newly terminated employees there are several options available on the application :

  1. Employee tab > select Terminate Employee >Termination Date > Termination Reason > STP Termination Reason

 

2. Bulk Change > Terminate Employee > option to select STP Reason

 

3. Termination Wizard > Select Employee > Termination Date > Termination Reason > STP Termination Reason

 

4. Third Party Import >

 

Pre-existing terminated employees

1.Employee tab > select STP Termination Reason. 

 

2.Alternatively bulk update through the import tool under Tools > Utilities > Import Data > Import Data Wizard > "STP Termination Reasons - Create or Update for Terminated Employees"

 

Import with CSV file. It requires Company Code, Employee Code, and Termination Reason columns

Example of bulk import tool csv file

 

After wizard completion, the STP termination reason will be imported and visible in the employee details screen.



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