Yes Ali,
Because it is clearly mentioned in the appointment letter that one month/3 months notice period has to given by any party. If the employee is giving the resignation he also needs to give one months notice. Same way employer if terminating he also needs to pay for one month. Its companies choice that the terminated employee is asked to be in the system or leave immediately. But generally in the case of termination it is with immediate effect.
Regards
Anuradha Singh
From India, Gurgaon
4Because it is clearly mentioned in the appointment letter that one month/3 months notice period has to given by any party. If the employee is giving the resignation he also needs to give one months notice. Same way employer if terminating he also needs to pay for one month. Its companies choice that the terminated employee is asked to be in the system or leave immediately. But generally in the case of termination it is with immediate effect.
Regards
Anuradha Singh
From India, Gurgaon
Facts
- The company has decided to terminate the services of the employee with immediate effect.
- As per agreement/appointment letter, three months notice/notice pay has to be defrayed. Timeframe not mentioned.
Assumption - termination of services has been communicated in writing.
Since the services of the employee have been terminated with immediate effect and he has to "sit at home", it makes sense for the HR Dept to ensure that all dues of the individua are cleared off immediately post all clearances/submissin of No Dues by the employee. This is because a person who has been laid off id likely to lose interest in his/her work and be on the lookout for other options. Thus his/her efficiency would obviously be low.
In case the termination has not been communicated in writing, I recommend the employee continue to reach the workplace at the scheduled hour and register his/her attendance. Else the company can use absence against him/her.
On the aspect of the company saying that they'll pay after three months - that is legally wrong. It tantamounts to withholding the salalry without any basis for doing so. They may at best hold the payment till all dues by the employee to the company, if any, are cleared by the employee. Basically, this would be the Full & Final of the employee and would include all other dues to the employee like encashment of leave, gratuity, PF to be done two months after the last working day etc. In case the company insists on holding the salary for three months I recommend the employee sends a legal notice demanding his/her legitimate dues. In any case the services of the employee have already been terminated so there is nothing to lose.
regards
Ajay
From India, New Delhi
- The company has decided to terminate the services of the employee with immediate effect.
- As per agreement/appointment letter, three months notice/notice pay has to be defrayed. Timeframe not mentioned.
Assumption - termination of services has been communicated in writing.
Since the services of the employee have been terminated with immediate effect and he has to "sit at home", it makes sense for the HR Dept to ensure that all dues of the individua are cleared off immediately post all clearances/submissin of No Dues by the employee. This is because a person who has been laid off id likely to lose interest in his/her work and be on the lookout for other options. Thus his/her efficiency would obviously be low.
In case the termination has not been communicated in writing, I recommend the employee continue to reach the workplace at the scheduled hour and register his/her attendance. Else the company can use absence against him/her.
On the aspect of the company saying that they'll pay after three months - that is legally wrong. It tantamounts to withholding the salalry without any basis for doing so. They may at best hold the payment till all dues by the employee to the company, if any, are cleared by the employee. Basically, this would be the Full & Final of the employee and would include all other dues to the employee like encashment of leave, gratuity, PF to be done two months after the last working day etc. In case the company insists on holding the salary for three months I recommend the employee sends a legal notice demanding his/her legitimate dues. In any case the services of the employee have already been terminated so there is nothing to lose.
regards
Ajay
From India, New Delhi
Hi Chandra :
Termination can be for a probationery or a permanent confirmed employee.
Hence payment of the notice period is required to be paid as per the terms of the appointment.
By asking the employess to sit at home you are keeping the person on the Company's rolls and this period of 3 months will be calculated as in service.
That means the gratuity for this period, if the employees is eligible for gratuity, has to be paid. Why all these ?
And paying the employee after 3 months is certainly not right. He must be paid the 3 mths notice alongwith his final settlement which should not be delayed.
Rgds
:: Dhinakaran
From India, Hyderabad
Termination can be for a probationery or a permanent confirmed employee.
Hence payment of the notice period is required to be paid as per the terms of the appointment.
By asking the employess to sit at home you are keeping the person on the Company's rolls and this period of 3 months will be calculated as in service.
That means the gratuity for this period, if the employees is eligible for gratuity, has to be paid. Why all these ?
And paying the employee after 3 months is certainly not right. He must be paid the 3 mths notice alongwith his final settlement which should not be delayed.
Rgds
:: Dhinakaran
From India, Hyderabad
Hi,
There are 2 diff questions.
One is termination - employee is no longer on the company roll. you need to settle his dues within 48 hours including notice period.
second is serve him with notice ,pay him salary on monthly basis, keeping him at home for three months and then settle his dues.
Once you decide that an employee is not required then get rid of him immdly. do not linger on the issue . settle him immdly.
regards
jitendra
From United States, Boston
There are 2 diff questions.
One is termination - employee is no longer on the company roll. you need to settle his dues within 48 hours including notice period.
second is serve him with notice ,pay him salary on monthly basis, keeping him at home for three months and then settle his dues.
Once you decide that an employee is not required then get rid of him immdly. do not linger on the issue . settle him immdly.
regards
jitendra
From United States, Boston
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