Dear Neeta,
Sacking an employee should not be considered only from the statutory viewpoint but also from an organizational perspective. The following points need consideration:
a) Will following the legal procedure not enhance your image within the company by showing that you adhere to ethical business practices?
b) Adhering to legal practices improves or maintains employee morale, indicating that the organization is fair.
c) If you terminate an employee without providing proper notice, the morale of current employees may decline. Will you be able to retain talent in such cases? Will it lead to increased attrition?
d) By adhering to a Hire and Fire policy, will you be able to attract better talent in the future?
e) If an employee was involved in unethical business practices, what was the audit department doing? Why were there insufficient checks and balances? How did no employee report this to management? Even if the issue was reported, did management delay action and now suddenly wants to take stringent measures to send a "right" message to all employees?
f) Indian Criminal Law mandates that the accused must have a chance to defend themselves before being pronounced guilty. Why are you hesitating to give the chance to prove innocence?
g) Take disciplinary action regardless of the employee's length of service.
h) Regarding Mr. Dev: Termination of an employee by an MNC without proper notice is entirely illegal. The fact that the employee did not approach the labor office does not justify the MNC's action. The law applies equally to all, without differentiating between Indian and foreign companies. If we constantly talk about "Values" and "Ethical Business Practices," then how can we justify terminating an employee without notice?
Thanks,
Dinesh V. Divekar
From India, Bangalore
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8032Sacking an employee should not be considered only from the statutory viewpoint but also from an organizational perspective. The following points need consideration:
a) Will following the legal procedure not enhance your image within the company by showing that you adhere to ethical business practices?
b) Adhering to legal practices improves or maintains employee morale, indicating that the organization is fair.
c) If you terminate an employee without providing proper notice, the morale of current employees may decline. Will you be able to retain talent in such cases? Will it lead to increased attrition?
d) By adhering to a Hire and Fire policy, will you be able to attract better talent in the future?
e) If an employee was involved in unethical business practices, what was the audit department doing? Why were there insufficient checks and balances? How did no employee report this to management? Even if the issue was reported, did management delay action and now suddenly wants to take stringent measures to send a "right" message to all employees?
f) Indian Criminal Law mandates that the accused must have a chance to defend themselves before being pronounced guilty. Why are you hesitating to give the chance to prove innocence?
g) Take disciplinary action regardless of the employee's length of service.
h) Regarding Mr. Dev: Termination of an employee by an MNC without proper notice is entirely illegal. The fact that the employee did not approach the labor office does not justify the MNC's action. The law applies equally to all, without differentiating between Indian and foreign companies. If we constantly talk about "Values" and "Ethical Business Practices," then how can we justify terminating an employee without notice?
Thanks,
Dinesh V. Divekar
From India, Bangalore
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Yes, he can be sacked for his unethical work with the company. But you should have strong proof to prove the same to your management. If you have it, you can go ahead. He should be punished for his unethical behavior.
Thanks,
From India, Mumbai
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Thanks,
From India, Mumbai
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Neeta, What unethical he did, can u specify???????? What are your decision making powers in ur company ??????? Would you take decision individually or jointly as Management with Management.
From India, Pune
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From India, Pune
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I guess I am 'senior' enough to give advice in this matter by virtue of over two decades of experience, and this is my advice.
Go ahead and terminate his services by giving him a letter of termination under the clause in the appointment letter that empowers the company to do so. Tell him not to come to the office anymore and give him one month's pay in lieu of notice. Your action would be perfectly legal, and no court would question you since the appointment letter that he has accepted, with the clause about separation, is a valid contract.
As far as the morale of other employees is concerned, I am sure by now everybody knows about whatever he has done and is waiting to see what action the management is going to take in the matter. I can assure you that by sacking this person, you will be sending the right message across to the employees that the management brooks no nonsense of this sort and will sternly act against anybody committing a breach of trust. Nobody is going to perceive this as a 'hire and fire policy' either unless your company has been sacking employees left, right, and center.
From India, Mumbai
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Go ahead and terminate his services by giving him a letter of termination under the clause in the appointment letter that empowers the company to do so. Tell him not to come to the office anymore and give him one month's pay in lieu of notice. Your action would be perfectly legal, and no court would question you since the appointment letter that he has accepted, with the clause about separation, is a valid contract.
As far as the morale of other employees is concerned, I am sure by now everybody knows about whatever he has done and is waiting to see what action the management is going to take in the matter. I can assure you that by sacking this person, you will be sending the right message across to the employees that the management brooks no nonsense of this sort and will sternly act against anybody committing a breach of trust. Nobody is going to perceive this as a 'hire and fire policy' either unless your company has been sacking employees left, right, and center.
From India, Mumbai
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Dear Neeta,
Before sacking anyone, the principle of natural justice has to be followed, and an opportunity of being heard must be given to the person concerned. This is mandatory, whatever the nature of the offense.
Sachin Jayaswal
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Before sacking anyone, the principle of natural justice has to be followed, and an opportunity of being heard must be given to the person concerned. This is mandatory, whatever the nature of the offense.
Sachin Jayaswal
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Hi Neeta,
If he is a managerial person, even "Loss of trust" could be a reason for his removal. I suggest paying 'one month notice pay' with a letter stating that the management is not seeing a possible working relationship with him anymore. Therefore, enclosing a cheque towards one month notice pay as stipulated under the clause of his appointment order and dispensing him without any stigma attached.
MSV
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If he is a managerial person, even "Loss of trust" could be a reason for his removal. I suggest paying 'one month notice pay' with a letter stating that the management is not seeing a possible working relationship with him anymore. Therefore, enclosing a cheque towards one month notice pay as stipulated under the clause of his appointment order and dispensing him without any stigma attached.
MSV
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An employee can be "dismissed" or discharged with immediate effect for the misconduct stated by you in this case. No notice or pay in lieu thereof is mandatory. It is a case for discharge simpliciter. The misconduct can be treated as dereliction of duty, disobedience of standing orders, or a rule of your company framed thereunder.
Harsh
Email: hksharan@gmail.com
From India, Delhi
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Harsh
Email: hksharan@gmail.com
From India, Delhi
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Dear Neekita,
As others have clearly mentioned, the first thing to consider is the intensity of the crime and whether it is criminal or civil. Both parties need to undergo a series of procedures as clearly prescribed in the appointment letter. Each activity must be documented and circulated to all other employees in the organization to create insecurity for employees engaging in unethical activities.
All the best,
R. Palanivelkumar, MBA
From India, Coimbatore
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As others have clearly mentioned, the first thing to consider is the intensity of the crime and whether it is criminal or civil. Both parties need to undergo a series of procedures as clearly prescribed in the appointment letter. Each activity must be documented and circulated to all other employees in the organization to create insecurity for employees engaging in unethical activities.
All the best,
R. Palanivelkumar, MBA
From India, Coimbatore
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Yes, an employee can be terminated immediately without notice based on the following:
1) Proof or evidence implying his unethical intentions.
2) The clause of termination in his offer or appointment letter.
3) Or the termination policy of the organization.
If there is any monetary or any other kind of damage that has happened to the organization, please mention the same because you can always show him that it is in the best interest of the organization's growth and reputation that he is asked to leave. Please note that undisputed evidence has to be presented.
From United States, Washington
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1) Proof or evidence implying his unethical intentions.
2) The clause of termination in his offer or appointment letter.
3) Or the termination policy of the organization.
If there is any monetary or any other kind of damage that has happened to the organization, please mention the same because you can always show him that it is in the best interest of the organization's growth and reputation that he is asked to leave. Please note that undisputed evidence has to be presented.
From United States, Washington
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Hi Neetha,
First, ascertain whether the misconduct demands termination as stated in the standing orders of the company. Talk to the employee and inform him about his misdeeds. Ask him to resign immediately and explain that his services will be terminated if he does not resign. Offer him the opportunity to resign to avoid harming his career by termination. If he refuses to resign, you may consider implementing the termination punishment. A manager cannot file a case in the labor court since he is not a worker. The only way he can claim damages is by filing a civil suit in the civil court. It is always better to obtain his resignation.
Sharath
From India, Maisuru
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First, ascertain whether the misconduct demands termination as stated in the standing orders of the company. Talk to the employee and inform him about his misdeeds. Ask him to resign immediately and explain that his services will be terminated if he does not resign. Offer him the opportunity to resign to avoid harming his career by termination. If he refuses to resign, you may consider implementing the termination punishment. A manager cannot file a case in the labor court since he is not a worker. The only way he can claim damages is by filing a civil suit in the civil court. It is always better to obtain his resignation.
Sharath
From India, Maisuru
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Notice of Employee Change.doc