MGIC - Separation from Employment

Separation from Employment

Purpose

The purpose of this policy is to set clear, fair, and consistent standards for ending an employment relationship with Maryland Global Initiatives Corporation (MGIC) and to support a dignified employee separation experience.

Background

MGIC employees are engaged through Employer of Record (EOR) service providers on behalf of Requesting Units of the University of Maryland, Baltimore (UMB) and constituent universities using MGIC services (referred to for purposes of MGIC policies only as “Affiliate Entities”). MGIC personnel are located in different countries, and separation processes follow local labor laws of respective countries and align with specific employment agreements.

The process of separation is executed in collaboration with the Requesting Unit and the EOR, facilitated by the International Operations (IO) division and with input as needed from local legal counsel to mitigate risk to MGIC.

The IO division of UMB’s Administration and Finance department administers the MGIC mechanism and manages the processes described in this policy.

Policy Statement

1. Continued employment with MGIC is subject to certain conditions as determined by the Requesting Unit. These conditions may include funding, employee performance, and need for the position.
2. Separation is a legal process implemented through the EOR, which conducts the process in line with local labor laws. MGIC is committed to respectful, nondiscriminatory, and transparent processes, with timely communication and an orderly handover, including the opportunity for an exit interview and feedback.
3. The MGIC President and/or the IO division may engage legal counsel to advise and/or facilitate a separation process. All costs of legal counsel and legal proceedings will be charged to the Requesting Unit to which the MGIC employee was assigned.
4. MGIC recognizes four types of separation:
   • Voluntary Separation: Employees may opt to terminate their employment through resignation and can initiate the process by providing a written notice, as indicated in their employment agreement, to their Supervisor. IO will process the resignation in collaboration with the EOR, on behalf of MGIC.
   • Involuntary Termination: Involuntary terminations may occur due to a reduction in force, loss or reduction of funding, redundancy, the end of a particular project and/or the employment agreement, or related factors. IO will collaborate with the EOR on behalf of MGIC to process the termination according to the requirements of the local labor laws and terms of the employment agreement.
   • Misconduct: If an employee commits an act of misconduct, IO will coordinate with the Requesting Unit to pursue disciplinary action. IO will collaborate with the EOR to implement the disciplinary action outcome on behalf of MGIC, as guided by local law. (See MGIC policy on Warnings and Disciplinary Action for more information). Following a fair and documented process, confirmed gross misconduct may result in summary termination where permitted by law. Acts of misconduct include, but are not limited to the following:
     • Willful disobedience of lawful and reasonable orders given by the employer
     • Willful, express, or implied misrepresentation by the employee in respect of personal skills or qualifications
     • Habitual or willful neglect of duties
     • Acts of theft, misappropriation, or willful dishonesty against the employer, another employee, or a customer or client of the employer
     • Acts of violence
     • Damage caused willfully or by gross negligence to movable or immovable property of the employer
     • Willful disclosure of confidential information or trade secrets, where such disclosure is or is likely to be detrimental to the interests of MGIC or UMB or an Affiliate Entity (hereafter referred to as UMB/Affiliate)
     • Inability to perform normal duties, due to alcohol or drug use
     • Willful refusal to obey or comply with any safety rules or practices for the prevention or control of accidents or diseases
     • Consistent work performance below average despite formal warnings
     • Offering or receiving bribes
     • Fraud, including financial statements, reconciliations, reports, procurement documents, and misrepresentation of authority in UMB/Affiliate and MGIC dealings with others.
     • Failing to disclose a conflict of interest and participating in a procurement or other selection process in which the conflict of interest is relevant
     • Sexual harassment
     • Abuse or personal use of company resources
     • Persistent absence from work without permission
     • Persistent failure to turn in accurate timesheets when due
   • Delay or Prevention of Performance (force majeure): In the event that circumstances beyond the reasonable control of either party (such as war, civil unrest, natural disasters, pandemics, labor actions, government action, or loss of program funding) delay or prevent performance of an employee’s employment agreement, MGIC in consultation with the Requesting Unit, may, through the EOR, suspend or terminate employment in accordance with applicable local labor laws.

Scope

This policy applies to all MGIC employees.

Responsibilities 

1. MGIC Employees: Comply fully with all aspects of this policy. 
2. IO International Human Resources (HR) Manager: Maintain current and accurate MGIC Global HR Handbook and Country Schedule to support compliance with labor laws and MGIC policies. Manage EOR services and facilitate employment separations with the EOR and Requesting Unit. Engage legal counsel as necessary to comply with local law.
3. Requesting Units: Comply fully with all aspects of this policy.

Procedures

See MGIC Standard Operating Procedures

Documentation Requirement

See MGIC Standard Operating Procedures

References

• MGIC Global HR Handbook
• MGIC Policy on Warnings and Disciplinary Actions