Termination by Mutual Agreement (TMA) is a constructive and amicable situation between an employer and employee. Rather than being terminated due to unsatisfactory performance or misconduct, TMA simply means that both parties are in agreement on ending the employment relationship. The terms of the agreement are mutually agreed-upon and can include finishing tasks, providing references, or any other conditions necessary for the departure of the employee.
TMA allows employers and employees to bring closure to a relationship with respect and dignity, eliminating unnecessary stress and taking away any fear of blame or retribution. It’s a way to end an employment agreement on positive terms, as it provides an opportunity for both parties to come to an arrangement that is beneficial for everyone involved.