Yes! Deleting or inactivating an employee will not delete them from the reports covering the times when they were an active employee.
Inactive employees will still appear in the selection options for reports. 👍
However, once an employee is deleted they will no longer appear by name in the report options, since they will no longer show up in your list of employees. They will also disappear from the "View Timesheets" screen, since they are no longer active.
To see a report with deleted employees, you'll simply need to run the report for "All Employees".
You may also contact our Customer Success team @ firstname.lastname@example.org to request that the deleted employee be restored to the account. 😄