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Exit management for e-commerce companies

E-commerce exits come in two shapes. After every festive season, fixed-term peak contracts end together, sometimes hundreds in a week. Through the year, warehouse and delivery associates leave one by one, often at short notice. Each exit needs assets and cash settled, wages paid within two working days, and a note on whether the person should be rehired. Done well, the end of one season is the start of the next season's hiring.

When fixed-term peak contracts end

A fixed-term worker holds full employee status, and gratuity is due pro rata without the five-year minimum, as the gratuity rules explain. Plan the end dates in advance: list every contract ending in the month after the sale, prepare the settlements and schedule clearance by site. Tag every exit with a structured reason, such as contract ended, and mark the good performers for rehire. Wages due must reach each worker within two working days of the last day, even when hundreds leave together.

Delivery associates: cash, parcels and assets

A delivery associate's clearance happens at the hub. The hub in-charge confirms each item before the last punch-out, using the 8-item exit checklist in ZeniaHR alongside the hub's own list. Any shortage should be settled with the associate present, recorded, and recovered only as the rules on deductions from wages allow.

Notice and resignations in operations roles

Permanent warehouse and delivery associates often resign at short notice. Put the resignation on record the same day; the last working day and on notice status then follow from your work terms policy, which can hold a shorter notice for operations grades through per-grade overrides. Operations may release associates early outside peak weeks. In sale weeks, ask for the notice to be served but stay realistic: forcing an unwilling associate to stay rarely helps the floor.

Final settlement and rehiring for the next peak

The settlement covers salary for days worked, overtime and incentives from the last closed month, fuel reimbursements due, leave encashment where eligible, gratuity where due and any lawful recoveries. A separate off-cycle run pays it without holding the leaver until month end. Previous employees remain in ZeniaHR with their history, documents and exit reason, so next season's hiring can begin by inviting back the associates marked for rehire, with their files already on record.

How to set it up in ZeniaHR

  1. List fixed-term contracts ending after the sale and prepare their settlements, including pro rata gratuity, in advance.
  2. Complete the 8-item exit checklist at the hub or warehouse on the last day, alongside cash and asset return.
  3. Tag every exit with a structured reason and note whether the person should be rehired.
  4. Enter overtime, incentives, reimbursements and lawful recoveries as payroll inputs for each leaver.
  5. Pay leavers through an off-cycle payroll run inside two working days, even for large batches.

Read more about employee records and exits in ZeniaHR.

Roles this applies to

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Frequently asked questions

Is gratuity payable to fixed-term employees?

Yes. For fixed-term staff, gratuity is paid pro rata, and the five-year minimum does not apply. It is worked out at 15 days' wages for each completed year on the last drawn wages, in proportion to the service completed. Budget for it when you plan peak contracts, and pay it with the final settlement.

What should a delivery associate return when leaving?

All COD cash collected, undelivered parcels and return pickups, and company assets such as the delivery bag, uniform T-shirt, ID card and any company phone or scanner. The hub in-charge should confirm each item on the last day, and any shortage should be settled with the associate present and recovered only as the law on deductions allows.

How can e-commerce companies rehire seasonal staff?

Mark good performers for rehire when their contract ends, keep their verified documents on record, and contact them before next season's hiring opens. In ZeniaHR, previous employees stay in the records with their history and documents, so HR only needs to check expiring documents and issue a new appointment letter for the new term.