Can someone please tell me how long a company must keep files of past employees? We are just running out of space because it seems that we keep everything.
Even if you have a state law that says you only have to keep for X years, you may want to keep longer. It depends on your industry and other record keeping requirements. For instance, some hospitals keep these records for 30 years. It is because they have to keep patient records that long. If something comes up, they may need to go back to the personnel records.
We keep our employee files for 7 years after termination. That is because it ties with other files that must be kept that long. I understand some employers only keep them for 3 years after termination. Check your laws first, and then look at your other record keeping requirements before you make a decision.
We are private, non profit, in Florida, and keep personnel files 7 years past termination or 5 years past last legal activity, whichever is longer.
Agree with others that there may be state- or industry-specific variables that should be considered by your company. Look for state regulations as they apply to public vs. private employers, depending on which you represent. Look to insurance, workers' comp, state taxing, any other issues that may be required at your state level, especially if PA is generally more restrictive than federal regulations.
It's 10 years past termination date for personnel files and anything regarding payroll. It's 7 years for other accounting files regarding revenue (re IRS rules, I believe).
Definitely check your state laws. In my state it's 20 years, much longer than is federally mandated and longer than pretty much any other state I've heard of.
Comments
We keep our employee files for 7 years after termination. That is because it ties with other files that must be kept that long. I understand some employers only keep them for 3 years after termination. Check your laws first, and then look at your other record keeping requirements before you make a decision.
Good luck!
Nae
Agree with others that there may be state- or industry-specific variables that should be considered by your company. Look for state regulations as they apply to public vs. private employers, depending on which you represent. Look to insurance, workers' comp, state taxing, any other issues that may be required at your state level, especially if PA is generally more restrictive than federal regulations.