Need guidance regarding the company policy. Can we include a point stating that the settlement will only be paid if the employee works for more than six months in the organization? Any person leaving before six months will not receive dues. Additionally, will relieving letters and service certificates be issued to everyone?
From India, Thane
From India, Thane
Such a policy will not be in order.Even if an employee works for one day he is entitled for pay. what is the reason for thinking of this 6 months limit?
From India, Pune
From India, Pune
The reason I am asking for such a policy is because I am working for an FMCG sector, and it's a new setup. Salespeople join our company and leave their jobs in a short period without intimation. Later, they ask for their settlement salary, bonus, leave encashment, expenses, and whatever eligible amount. To avoid paying such undeserving employees who have not contributed a single penny of business to our organization, we want to stop this practice. Is it possible to add the clause I mentioned earlier in the mail to the offer letter?
Please suggest whether there will be any legal consequences we will have to face if we don't pay their settlement.
From India, Thane
Please suggest whether there will be any legal consequences we will have to face if we don't pay their settlement.
From India, Thane
If employees leave in a short period, bonuses, leave encashment, etc., do not become due. They are, at best, entitled to the days of work. Inclusion of a clause that you have to work a minimum of 6 months, etc., will not be legal and could give rise to complaints to the Labor officer for non-payment of entitled dues.
Recruitment procedures should be tightened to avoid selecting people who exit soon or at least reduce the number of people who exit soon.
From India, Pune
Recruitment procedures should be tightened to avoid selecting people who exit soon or at least reduce the number of people who exit soon.
From India, Pune
Your company is governed under the rules of the land. How can your company be exceptional to the rules of the land? The payment of salary and wages should be made after and within the wage period of the month. The bonus should be paid or due for payment within 8 months of the completion of the financial year. The leave encashment should be done or due at the end of the calendar year. If the payments above are not made within the stipulated time, the company can be sued or held liable for action by the authorities upon receipt of a complaint from a worker. This is in response to your query.
From India, Mumbai
From India, Mumbai
Dear Friend,
There are laws to protect the interests of the employees that are binding on the company. Because your company is failing to retain employees, the company is trying to put the employees under undesirable pressure, thinking that the employees will stay. You are absolutely wrong in your thinking. Please let us know if you will be able to keep this information under wraps so that people in the market will not come to know, and the company will not spoil its own reputation. Only those employees who are either average/below average or under some form of compulsion will knowingly join. Please think twice before implementing such draconian rules.
Warm Regards,
Bharat Gera
HR Consultant
9322404765
From India, Thane
There are laws to protect the interests of the employees that are binding on the company. Because your company is failing to retain employees, the company is trying to put the employees under undesirable pressure, thinking that the employees will stay. You are absolutely wrong in your thinking. Please let us know if you will be able to keep this information under wraps so that people in the market will not come to know, and the company will not spoil its own reputation. Only those employees who are either average/below average or under some form of compulsion will knowingly join. Please think twice before implementing such draconian rules.
Warm Regards,
Bharat Gera
HR Consultant
9322404765
From India, Thane
Thank you for the guidance. It was just a suggestion from my side. I haven't communicated this to my management yet. As advised by everyone, we will explore alternatives to retain employees for a longer period or focus on recruiting the best candidates who are truly enthusiastic about their work.
Thank you,
Kumar Nair
From India, Thane
Thank you,
Kumar Nair
From India, Thane
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