In SPRO->Payroll of your molga (country), there is a node for Terminations and redundancies.
Provided the requirements are complete, there are several steps for config, starting with
a)Personnel actions (for termination action): Here normally IT's included here are 1, 6, 14, 15, 40, 105, etc. This depends on requirements and your country's and your company's rules and requirements.
b)Reasons for pers action (term'n reasons).
c)Action type for tem'n (Feature 40TRM),
d)Periods of notice
etc.
Further, the termination needs to be part of a form & procedure or change request (similar to hiring an employee), so that all steps are processed uniformly, with any work flow as required. It should include processing any advances/loans, company objects loaned, security/logon/pass, exit interview, etc.