That will be great, this then can be marked as "departed contact" which can have a set of tasks/check list that needs to be performed by the tech such as: remove server access, suspend email, vpn, wipe/remove pc profile and so on… something that we are using in our MSP with the help of IT Glue. Important here, is that the contact to have a device associated, and the device can be then re-deployed to other contact.
So keeping the contact as archive, would be very handy to track related objects when required.