When an employee dies
Practical steps to deal with the death of an employee, including informing next of kin and tax implications.
The death of an employee must be handled with great care.
Bereavement naturally causes high levels of stress among other staff, and obvious disruption in the workplace, so it's essential to put a plan in place to handle it sensitively.
There are many practical issues to tackle, such as informing staff and possibly next of kin, and covering the employee's work. You will also have to ensure that any tax and National Insurance issues are resolved and that the employee's dependants receive any final payments.
If the death is work related, you will also have certain health and safety obligations to fulfil.
This guide explains how to deal with the death of an employee, both emotionally and practically. It outlines the legal implications of a death at work, sets out the main steps you will need to take, and provides advice on dealing with other staff and the employee's family.
We also have guidance for employers on managing employee bereavement.
When an employee dies at work: Employer legal duties
The legal procedures employers must follow and how to submit an accident report form if an employee dies at work.
The death of an employee at work, or because of work, is one of the most difficult issues an employer will ever have to deal with.
When an employee dies at work
If an employee dies while at work because of an accident, natural causes, or violence, first call the emergency services. Do not move the body before they arrive.
You must also report a work-related death immediately to the Health and Safety Executive for Northern Ireland (HSENI). You can to the HSENI by calling the HSENI Helpline on Tel 0800 032 0121.
When an employee dies later as a result of a work-related accident
If an employee dies as a result of an accident at work within one year of the date of the accident, you must also notify HSENI about this in writing as soon as it becomes known.
An investigation will then be carried out to determine the circumstances leading to their death.
Employer's duty of care
As an employer, you have a duty of care to your employees, ie a duty to protect their health, safety, and welfare by providing them with a safe working environment.
If an employee dies because you failed in your duty of care and it is found that you or your business have committed an offence you could be fined and/or sent to prison.
Insurance for employers
Most employers are required to have employer's liability insurance. This provides insurance against claims for compensation and legal costs if an employee dies or becomes ill or injured as a result of working for you - see insure your business: people, life, and health.
Note that a representative of an employee who has died, usually the executor of their estate, can bring a case against an employer on behalf of the employee.
Practical steps when an employee dies
Payroll, pensions and managing workloads when an employee dies.
When an employee dies there are a number of practical issues you will need to sort out. You will have to deal with payroll and pension issues. You will also have to make temporary arrangements to cover their work.
Payroll issues when an employee dies
You or your payroll department, if you have one, must calculate the final pay amount owed to the employee. You should make sure this is paid to the deceased employee's personal representative, usually the executor of the estate.
You will need to consider whether the employee was:
- due any outstanding payments of wages
- due any outstanding payments for untaken holidays
- due to make payments from their salary, such as student loan or child 91香蕉黄色视频 payments
- receiving statutory payments, eg maternity pay
- a member of a company share scheme
Payments made after an employee's death are still subject to the same tax rules as normal. However, Class 1 National Insurance contributions (NICs) - from both employer and employee - do not have to be made and a P45 does not need to be produced.
For more information on dealing with payroll after an employee dies, see employees joining, leaving or changing their circumstances.
Workplace pension schemes when an employee dies
A surviving spouse or other dependants may be entitled to receive a survivor's pension.
In some cases, a lump-sum payment may become available. This will often be paid to the surviving spouse, or to a person named on the employee's nomination form, or to the executor of the estate as decided by the scheme's trustees.
If the pension scheme is trust based, the trustee chair of the pension scheme will be able to provide further detail on any payments which need to be made to the deceased's dependants.
If the pension scheme is contract based (eg a group personal pension), you will need to approach the scheme provider. They will be able to advise on any death-in-service benefits that are due. Know your legal obligations on pensions.
Staffing issues when an employee dies
You will have to make arrangements to cover the deceased employee's work. In the short term, you could:
- reallocate work to existing staff
- take on a temporary member of staff, eg an agency worker
You can then begin the process of recruiting staff.
Informing people when an employee dies
Informing employees and external contacts of an employee's death, and considering bereavement counsellors to address emotional stress.
When an employee dies, you will need to inform other members of staff with sensitivity and compassion. The death of an employee can have an impact on the whole workforce. It can be especially difficult if the death is sudden, happens at work, or if multiple friends and family members are all employed by the same organisation. How you handle the death of an employee can have a long-lasting effect on the relations between the employer and the workforce. Be as honest as you can about the cause of death.
Things to consider when an employee dies
You might want to:
- Inform those closest to the employee first, offering your condolences.
- Communicate the news in a private environment if possible.
- Allow staff time off to grieve and attend the funeral.
- Encourage employees to seek counselling if necessary - many employees have access to a 91香蕉黄色视频 scheme through their workplace or can .
- Offer 91香蕉黄色视频 to employees affected by the death and operate an open-door policy to those people affected by emotional distress. It's a good idea to talk to employees regularly to see how they are coping and signpost them to any 91香蕉黄色视频 that is available to them.
Informing outside contacts of an employee's death
You also need to contact customers and suppliers - anyone who used to deal with the employee - to inform them of the death. How you do this will depend on the relationship you have with them. You may choose to email or post a letter, or you may decide to telephone.
Dealing with next of kin when an employee dies
Inform next of kin sensitively about any life assurance, death-in-service benefits, wages, and pension entitlements.
When an employee dies at work, you will need to deal with the next of kin very sensitively. A manager who knows the employee well may be the most appropriate person to break the news, or sometimes a colleague who knows the family well may volunteer.
At an appropriate time, you will need to inform the next of kin about their entitlement to:
- life assurance or death-in-service benefits
- remaining wage or salary payments
- outstanding payments for untaken holidays
- pension entitlements
- any personal effects the deceased may have at the workplace
See practical steps when an employee dies.
After establishing when the funeral is to take place, it is a good idea to ask the next of kin whether colleagues of the deceased are welcome to attend.
You may wish to send a letter of condolence to the family of the deceased. You might also want to organise a floral arrangement to send to the funeral, or arrange some other tribute, and allow employees to contribute towards this. You may wish to place a notice in the local press.
It might be appropriate to honour the person who died, with others at work. For example, you might consider:
- organising a book of condolence for staff to share their memories of the person who died
- holding an event or service to honour the person who died, inviting the family or next of kin as well, if appropriate
When an employee dies at work: Managing media queries
What to do if the media take an interest in the death of an employee.
If an employee dies while they are at work, the media may hear about it and want to report the incident, particularly if the death was a result of an accident or violence.
How much media interest is created - and how you handle that interest - will depend on the nature of the incident.
If one person dies, it may only be reported in the local press. However, if there is a major accident and many people die including employees, public and/or fire and rescue personnel, the media coverage may be national or even international.
Responding to the media
When it comes to your business answering calls from media organisations, it is best not to ignore them - bad media coverage could turn a human tragedy into a business disaster. However, staff should be instructed to refer any enquiries to a particular individual or department that is best equipped to deal with them. The image your business presents to the business community and public should be as positive, empathetic and understanding as possible whatever the circumstances.
You could release a verbal or written statement:
- expressing regret
- reassuring other employees, the public, customers, suppliers, etc
- giving a brief outline of what happened
- saying that the incident is being investigated
- detailing how the business will be affected, if at all
Alternatively, you could hold a press conference so that you and/or your legal representative and any other interested parties can answer media questions face to face.
If you have someone in your business with experience of public relations (PR) and/or dealing with the media, they should manage media relations. If you don't, you could engage a PR consultant to advise you on managing the media interest.
However you manage media relations, you should avoid making promises, accusations or suggestions - it's best to stick to the basic, confirmed facts.