Employee Onboarding and Offboarding Process in Sharepoint

Our company has recently digitized and moved all of our information into SharePoint. Right now, we don't have add-ins and flows in place for the onboarding and offboarding process. Until then, we will be keeping our scanned checklist in SharePoint. I need advice.

Should we organize employee documents related to the onboarding process by name, or by form type? We use three forms for the onboarding process. Right now, our IT Manager set up three folders in sharepoint.

Computer build checklist
Offboarded Employees
Onboarded Employees

And he just suggested making a subfolder for each employee under the Onboard Employees folder which would contain the three "onboarding employees" forms.

I'm not sure this is because for organizational purposes. To me, it seems like it would be easier to have a folder for each employee, and add all forms onboarding (3), offboarding (1) and the computer build checklist for each of them.

Suggestions?