Your Journyx license key works on “active” users. An active user is defined as someone who has time, expense, mileage/custom, or journal records within the last 30 days. So when an employee leaves your company, they continue to hold a license key for 30 days after their last record; but on the 31st day, they stop holding a license key and you don’t have to do anything else.
Please bear in mind, however, that if your users have billed time, expense, mileage/custom, punch or journal records at a FUTURE date, when that date becomes “today,” those users will be counted once more as active. Examples of this include vacation time off requests, company holidays, or project time that was scheduled in advance.
You can continue to report on their historical time forever, without having to archive them off or hide them or anything else.
Of course, it might be prudent to change their password or set their end date so that they cannot log in to the system after their departure. Hiding a user does not affect the count of their records for licensing.
If your company is high-turnover, you may need to over-buy a few licenses to cover the period where the old employee and the new employee are both holding a key. Administrator accounts and Reporter accounts do not normally have any of these types of records in Journyx, so they usually do not count at all towards your license key.