A letter of clearance is sent to be an employee who is leaving a company, instructing them to fulfill certain obligations and return company property. The employee will often have to get this signed by various departments, certifying that they allowed leaving.
When the resignation of an employee is approved, the clearance process has to be initiated. This means to get clearance approval from various divisions/departments, such as IT, Admin, etc.. For example, if the employee who is resigning should return the corporate assets that he/she has been using during the tenure in the organization, in such case, clearance approval should be given by the asset department for this employee.
The Employee Separation and Clearance procedure is designed to assure that all departing employees of the organization are separated from employment properly and any organization’s property. In addition, departing employees are encouraged to participate in a confidential exit interview process.