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Dear Prashant ji, I suggest to issue appointment letter as per attached draft which is in KISS formula. Always adopt KISS.... any where, any time. Thanks with regards. Keshav Korgaonkar
From India, Mumbai
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File Type: doc draft appointment.doc (25.5 KB, 111 views)

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Dear friends,

I observed that many friends in HR have tried to:

1. Include a clause in the appointment order stating, "During the probation period, termination can occur without notice, without assigning any reason whatsoever."

2. "The probation period can be extended at the discretion of the management."

3. "Duties and responsibilities, terms & conditions of your appointment, etc., will be issued to you in due course," and so on.

It is my humble opinion that these kinds of one-sided terms do not hold up under legal scrutiny and would fail to uphold natural justice.

When framing terms and conditions, it is always advisable to list out almost all possible and applicable terms and conditions of appointment and attach them to the offer stage itself. If possible, clearly mention under what circumstances the probation could be extended and up to what period. We should, to the extent possible, leave no terms ambiguous. Clearly defining all terms and conditions would prevent any ambiguities in the administration of HR functions.

Additionally, communications should be in writing, duly acknowledged, and accepted by the concerned employee.

Importantly, the terms, rules, and regulations should invariably be consistent with the law of the land, and none should be ultra vires any applicable act or legislation.

Similarly, when HR is required to take disciplinary action against any employee, regardless of their level, it should be done only through the domestic inquiry route without fail. Any deviation from the procedures could lead to litigations going against the employer.

Kumar S.

From India, Bangalore
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Dears, Can we pay the increment during the suspension period Regards/Sridharrajan
From United States, Huntsville
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Dear Sridhar, While an Employee is under "Suspension" he is eligible for "Subsistence Allowance" in what context, you are proposing to pay Increment.Please elaborate your proposal
From India, New Delhi
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During the suspension period, the employer-employee relationship remains intact. In the absence of any express order stating that the employee placed under suspension pending an inquiry is not entitled to any increment, he should be paid the increment due, and the subsistence allowance should be paid based on the increased salary. Obviously, the subsistence allowance is a percentage (50%, 75%, or 100%, as the case may be) of his pay, and once his pay is increased by the element of the increment given, the subsistence pay will also increase.

No doubt, if your increments are purely based on performance, you need not pay it. But if the employee is under a time scale with annual increments marked against each grade, he should be paid the increment.

In support of the above, there are a lot of court cases available. One case is attached for your reference.

From India, Kannur
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File Type: pdf Increment during suspension period.PDF (209.3 KB, 129 views)

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Whether to deduct epf ,esic and labour welfare from 50 % of subsistence allowance processed?
From India, Kannur
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Subsistence allowance is an allowance paid to a worker for their survival during a suspension period when the worker is not on duty. Therefore, it will not come under the definition of wages under the EPF & MP Act, and no PF should be deducted from the amount paid. At the same time, since the employee is an insured person even though they are under suspension, the amount paid for their survival, i.e., the subsistence allowance, will attract ESI contribution.
From India, Kannur
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