This article is for clients and explains how they can terminate Contractor of Record (COR) contractor agreements on the Deel platform.
✅ Step 1 –Select contractor
Select the People icon on the homepage and in the All People tab, select the contractor to be terminated.
✅ Step 2 – Open the worker’s profile
Click on the worker’s name to open their profile.
✅ Step 3 – Select the contract and click Set End Date
Under Contracts/Agreements, select View Contract for the contract that will be terminated.
Scroll down to the End of Contract section. Select Set End Date.
Review the termination workflow steps on screen. Select Continue to proceed.
✅ Step 4 – Set an End Date for the contract
Termination of a COR contract requires that the agreed-upon notice period from the contract be observed.
The notice period from the contract will be presented. Select a contract end date that observes the notice period.
Note: If the client selects a date before the minimum notice period, both the client and the contractor will need to sign a Mutual Termination Agreement. If the worker declines to sign the agreement, Deel will automatically set the end date to the soonest date that honors the notice period. The termination request will then be processed as normal.
✅ Step 5 – Enter remaining termination details
Select a reason for ending the contract from the drop down menu.
Optional: Clients can provide a detailed explanation for the termination reason selected, termination impact, and whether this COR contractor will be eligible for rehire.
Note: The Reason for Ending the Contract and Explanation for the Reason Above will not be shared with the contractor.
Select Continue.
✅ Step 6 – Adjust final payments
Clients can edit the final payment to send the worker the Full Amount or a Calculated Amount.
Full Amount: Workers will receive the full amount of their final payment.
Calculated Amount: Calculated based on the number of working days between the start of the payment cycle and the end date.
Select Continue.
✅ Step 7 – Review summary and Submit
Review the end of the contract date and payment details. Click Submit to continue.
Note: An email with updates will be shared with the contractor after submission.
COR Mutual Termination Agreement
Once the client submits their termination request, Deel will notify the worker via email. The worker will be asked to review the termination details on platform.
If the contract end date does not adhere to the notice period, the worker will have the option to either accept early termination by signing the Mutual Termination Agreement or Reject the early termination of their contract.
If the worker agrees to the early termination date, they will digitally sign the Mutual Termination Agreement via the Deel platform. If they select Reject, the termination will proceed with a revised end date. Deel will automatically set the contract to end on the soonest date that adheres to the notice period. The client and worker will be notified of this change automatically via email. Following this, the termination will proceed as normal.
FAQs
[ACCORDION] Can clients terminate a COR contract before the notice period is over?
A COR contract can only be terminated before the notice period laid out in the contract if the client and worker both agree to the an early termination date.
If the client enters a contract end date that does not honor the agreed upon notice period, the worker will be notified via email. The worker then has the option to accept early termination by signing the Mutual Termination Agreement or to reject early termination.
If the worker rejects early termination, Deel will update the termination to take effect on the soonest date that honors the notice period. Following this, the termination will proceed as normal.
[ACCORDION] Will the contractor be notified of the client's explanation for terminating the COR contract?
No, we will not share the client's required reason for ending the COR contract or the additional explanation provided.
[ACCORDION] What does a calculated amount mean for a final COR contractor payment?
A calculated amount is a final payment that is calculated from the number of working days between the contract end date and the start of the payment cycle.
[ACCORDION] How long do contractors have access to their Deel account after the COR contract is terminated?
After the COR contract is terminated, contractors will retain access to their Deel account indefinitely. Deel user accounts are not tied to employment - they remain available even after a worker's contract, EOR employment relationship, etc have ended. This ensures that users still have access to their work records and important documents (tax information, payslips, invoices, etc).
It's completely free to keep the Deel account, and contractors can continue to use it for future contracts and employment opportunities. It is important that contractors set their account email to a personal address so that they don't lose access to their account after a contract ends. Please reach out to Deel Support anytime for assistance updating the email address on the Deel account.
[ACCORDION] Can clients edit the COR contract termination details after submitting a termination request?
Clients can edit the details of their termination requests up until Deel’s internal payroll team takes action on the request. Once Deel’s payroll team begins processing the request, no further changes can be made.
Go to the employee's Contract Agreement page
Select View Details under Termination Requested
Select Edit to change the details of the request
Make the necessary changes and select Submit to update the termination request.
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