Voluntary Termination

Dictionary Says

Definition of 'Voluntary Termination'


1. An employee's decision to leave a job of his or her own accord.

2. The voluntary cancellation of personal financial contracts such as car leases or cell phone contracts

3. The voluntary cancellation of institutional level contracts such as credit default swaps and interest rate swaps.

Investopedia Says

Investopedia explains 'Voluntary Termination'


An employee may choose to leave a job for one or more reasons - changes in personal circumstances, dissatisfaction with working conditions, a hostile supervisor and so on. Another common reason for voluntary termination is a new and better job, typically one that offers higher remuneration or improved career prospects. This is more likely to be cited as a reason for leaving a job during periods of strong economic and job growth than during recessionary times.

Voluntary cancellation of financial contracts may or may not incur penalties. In case a penalty will be incurred, the party who wishes to terminate the contract may be able to rationalize the termination decision if the net benefit from terminating the contract is substantially larger than the penalty.

comments powered by Disqus
Hot Definitions
  1. Chicago Mercantile Exchange - CME

    The world's second-largest exchange for futures and options on futures and the largest in the U.S. Trading involves mostly futures on interest rates, currency, equities, stock indices and agricultural products.
  2. Private Equity

    Equity capital that is not quoted on a public exchange. Private equity consists of investors and funds that make investments directly into private companies or conduct buyouts of public companies that result in a delisting of public equity.
  3. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  4. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  5. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  6. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
Trading Center