Dear Seniors, If the employees who are given laptops leave the company without informing and take away the laptops with them whats steps as a HR can i take? please Suggest...
From India, Mumbai
From India, Mumbai
Isn't this regarded as Theft and thus becomes a police matter??
Companies that give employees phones, computers, cars, other items that they need to fulfil their jobs, need to have a proper asset management, accountability framework and processes in place to safeguard those assets.
None of this is rocket science.
From Australia, Melbourne
661Companies that give employees phones, computers, cars, other items that they need to fulfil their jobs, need to have a proper asset management, accountability framework and processes in place to safeguard those assets.
None of this is rocket science.
From Australia, Melbourne
Thanks, I just joined this company yesterday and before me there wasn't any HR so a lot of cases like this has already taken place so can you guide me what procedures or clauses can i make so that henceforth it does not happen the same.
From India, Mumbai
From India, Mumbai
I would suggest you compile a list of the missing assets and the ex-staff members they were allocated to along with the value of the items. Present that list to management with 3 options, write off the cost, try and pursue the people to retrieve the assets, or call in the police. I suspect the police will not be interested until you have explored all other avenues to retrieve the items. If this is a long standing issue and the chances of recovery are slim, I suggest write it off. You may be able to get a tax advantage thru write off. I do not know Indian Tax Law.
Starting NOW, put in place an asset register of all the company's equipment, particularly anything that is held by a staff member, such as a computer, mobile phone etc. Record the name of the person, serial number of the item, value, complete description etc. Every item should be tagged with an asset number. There are many companies around who specialise in providing suitable asset number tags or stickers. Ideally they need to be hard to remove. Items can also be etched with an engraving pen.
I would also suggest drawing up a contract/agreement with the staff member, leaving no doubt whatsoever, that the company owns the item/s and they MUST be returned on cessation of employment.
Most important - DO A REGULAR ASSET REGISTER CHECK. You need to know at all times where the items are. If a person leaves the company, part of your separation process is to ensure you get back anything they have that belongs to the company. If necessary, make payment of final salary dependent on returning the items.
If a person absconds, then that is theft and you should call the police immediately.
Hope that helps
From Australia, Melbourne
Starting NOW, put in place an asset register of all the company's equipment, particularly anything that is held by a staff member, such as a computer, mobile phone etc. Record the name of the person, serial number of the item, value, complete description etc. Every item should be tagged with an asset number. There are many companies around who specialise in providing suitable asset number tags or stickers. Ideally they need to be hard to remove. Items can also be etched with an engraving pen.
I would also suggest drawing up a contract/agreement with the staff member, leaving no doubt whatsoever, that the company owns the item/s and they MUST be returned on cessation of employment.
Most important - DO A REGULAR ASSET REGISTER CHECK. You need to know at all times where the items are. If a person leaves the company, part of your separation process is to ensure you get back anything they have that belongs to the company. If necessary, make payment of final salary dependent on returning the items.
If a person absconds, then that is theft and you should call the police immediately.
Hope that helps
From Australia, Melbourne
I just have a little doubt how to write off the cost m sorry to ask you but actually m having lil knowledge of that if you could just guide me in brief i would be really thankful to you.
From India, Mumbai
From India, Mumbai
Sonal,
I do not know what the tax laws are in India so maybe one of our other members may be able to help here.
Try speaking to your finance manager or the company accountant also.
In many countries, the tax laws allow businesses to write off as a tax deduction, losses such as this.
However, I think your first step is to ascertain just what is missing and unrecoverable and then arrive at a cost. If as you said in your original post, it is laptop computers, then the cost may be significant.
It may well be that you work out the cost, let us say it is, for argument's sake 15000 rupees. You prepare a report for senior management telling them that the laptops are unrecoverable and the cost to the company is 15000 rupees. At the end of the report your conclusion is that the company write off the cost as a loss. Let management decide how to do it. However, your report should also include the actions you are going to take to prevent such a loss occurring in future. You need to demonstrate to management that you are being proactive here.
From Australia, Melbourne
I do not know what the tax laws are in India so maybe one of our other members may be able to help here.
Try speaking to your finance manager or the company accountant also.
In many countries, the tax laws allow businesses to write off as a tax deduction, losses such as this.
However, I think your first step is to ascertain just what is missing and unrecoverable and then arrive at a cost. If as you said in your original post, it is laptop computers, then the cost may be significant.
It may well be that you work out the cost, let us say it is, for argument's sake 15000 rupees. You prepare a report for senior management telling them that the laptops are unrecoverable and the cost to the company is 15000 rupees. At the end of the report your conclusion is that the company write off the cost as a loss. Let management decide how to do it. However, your report should also include the actions you are going to take to prevent such a loss occurring in future. You need to demonstrate to management that you are being proactive here.
From Australia, Melbourne
Hi Sonal,
Here in the Philippines most of the companies are practicing the "accountability system" meaning every employee once employed will be given an accountability form that needs to be filled up then if they decided to leave the company without proper endorsement the company have the option to:
1. retrieve the said item / property from the ex employee
2. deduct the amount of the said item to his back pay or last salary
3. no employee certicate will be given to him/her since he/she has bad record
hope this could help you.
Thanks.
Mean1208
From Philippines, Quezon City
Here in the Philippines most of the companies are practicing the "accountability system" meaning every employee once employed will be given an accountability form that needs to be filled up then if they decided to leave the company without proper endorsement the company have the option to:
1. retrieve the said item / property from the ex employee
2. deduct the amount of the said item to his back pay or last salary
3. no employee certicate will be given to him/her since he/she has bad record
hope this could help you.
Thanks.
Mean1208
From Philippines, Quezon City
Dear Sonal,
If you want to write off the cost, you will have to pass a journal entry for the depreciated cost in consultation with the accounting department debiting the Head of Account meant for losses and write offs, with whatever nomenclature your accounts people would suggest, and creding to the capital head or working expenses, whatever assigned by the accounting department for such items and transfer the journal slip to the accounting department. Rest of the job they will look after. However, you will have to show the credit transaction in the stock register against the entry of the laptop.
From India, Delhi
If you want to write off the cost, you will have to pass a journal entry for the depreciated cost in consultation with the accounting department debiting the Head of Account meant for losses and write offs, with whatever nomenclature your accounts people would suggest, and creding to the capital head or working expenses, whatever assigned by the accounting department for such items and transfer the journal slip to the accounting department. Rest of the job they will look after. However, you will have to show the credit transaction in the stock register against the entry of the laptop.
From India, Delhi
Discuss with your finance chief about this. They will guide. On your own as a new comer, you cannot do anything. Deva
From India, Madras
From India, Madras
Dear All,
I my opinion set off is the last option when damage/loss of instrument is not at all recoverable. But why to opt for this option. You can control this by adding the clause in appointment letter that any damage to laptop is employees responsibility.
So I suggest at the time of issuing Laptop to any employee you need to get proper documentation done. In letter you can clearly mention that any damage or any internal information shared with client or business competitor then a strict legal action will be taken. Even you can add penalty also.
This will automatically put pressure on employee to handle it with care.
In my company we have a checklist made for Laptop in which we mention the configuration details and any other hardware issued along with laptop. So whenever we take it back we check as the per the checklist if things are fine then we give him the clearance else we recover that money from his F & F. This documentation is signed by employee and respective authorities.
From India, Pune
I my opinion set off is the last option when damage/loss of instrument is not at all recoverable. But why to opt for this option. You can control this by adding the clause in appointment letter that any damage to laptop is employees responsibility.
So I suggest at the time of issuing Laptop to any employee you need to get proper documentation done. In letter you can clearly mention that any damage or any internal information shared with client or business competitor then a strict legal action will be taken. Even you can add penalty also.
This will automatically put pressure on employee to handle it with care.
In my company we have a checklist made for Laptop in which we mention the configuration details and any other hardware issued along with laptop. So whenever we take it back we check as the per the checklist if things are fine then we give him the clearance else we recover that money from his F & F. This documentation is signed by employee and respective authorities.
From India, Pune
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