EDI 540 Notice of Employment Status

What is an EDI 540 Notice of Employment Status?

EDI 540 transaction set is used to:

• Alert the government agencies and authorized parties about the hiring and termination of employees by notifying them of their identities
• Confirm the employment status, exchange information between the authorized parties and government agencies, or deliver response from the government agencies

The data contents and format of EDI 540 Notice of Employment Status are used for the electronic interchange of information. It is divided into various segments and data elements.

Workflow for the Exchange of an EDI 540 Notice of Employment Status

EDI 540 falls under the category of X12F Finance transaction set. This transaction set sends a notification, containing an identity, to the government agencies and authorized parties whenever a new employee is hired, or an old employee is terminated.

This transaction set also enables government agencies and authorized parties to confirm the employment status, convey information between authorized parties, or to deliver responses.

Stay EDI Compliant with EDIConnect

EDIConnect is an enterprise-grade EDI solution that simplifies the process of sending and receiving EDI messages. It is designed to handle X12 and EDIFACT transaction sets through its built-in parser, validator, and transaction builder. It also offers features to help businesses comply with EDI requirements and communicate seamlessly with their trading partners.