Dear All,
Even after repeated instructions, If few employees become a reason for Lift repair / chair repair / Computer repair etc... due to misuse of the same in the Organization, as an HR what action should I take on behalf of the company?
Do we have to deduct the cost incurred due to such misuse, from the employees salary? If yes, then in that case, if few people who were the cause of misuse could not be identified, then can the whole money be deducted from all employees salary?
Please help me out in this.
Thanks
Nivya
From India, Madras
Even after repeated instructions, If few employees become a reason for Lift repair / chair repair / Computer repair etc... due to misuse of the same in the Organization, as an HR what action should I take on behalf of the company?
Do we have to deduct the cost incurred due to such misuse, from the employees salary? If yes, then in that case, if few people who were the cause of misuse could not be identified, then can the whole money be deducted from all employees salary?
Please help me out in this.
Thanks
Nivya
From India, Madras
Dear Nivya,
You have raised ticklish issue.
Don't expect employees to use the company property the way they use it in their homes. Yes there are companies whose employees treat their workplace as second home, but such companies are few are far between.
If the culpability of the employee is established in misusing the company property, then you can recover the amount either fully or partially. However, before penalising the employee make sure that you follow principles of natural justice and follow the process of discipline as well.
If you impose any penalty make sure that the deductions don't exceed more than 50% of employee's take home salary.
Have you measured the cost of breakages and damages? If yes then it is what percent of your total expenditure? Do you maintain proper asset register? If yes, then while calculating the value of damaged item, what value do you take into account? Is it the price at which the item was purchased or the depreciated amount?
Lastly, imposing collective penalty. You can term these deductions as maintenance allowance. This may cause heartburn among the employees and they may get demotivated.
Will you be able to measure cost of de-motivation vis-a-vis cost of breakage and damage? If yes then go for the option that has least cost to company.
Ok...
Dinesh V Divekar
From India, Bangalore
7884You have raised ticklish issue.
Don't expect employees to use the company property the way they use it in their homes. Yes there are companies whose employees treat their workplace as second home, but such companies are few are far between.
If the culpability of the employee is established in misusing the company property, then you can recover the amount either fully or partially. However, before penalising the employee make sure that you follow principles of natural justice and follow the process of discipline as well.
If you impose any penalty make sure that the deductions don't exceed more than 50% of employee's take home salary.
Have you measured the cost of breakages and damages? If yes then it is what percent of your total expenditure? Do you maintain proper asset register? If yes, then while calculating the value of damaged item, what value do you take into account? Is it the price at which the item was purchased or the depreciated amount?
Lastly, imposing collective penalty. You can term these deductions as maintenance allowance. This may cause heartburn among the employees and they may get demotivated.
Will you be able to measure cost of de-motivation vis-a-vis cost of breakage and damage? If yes then go for the option that has least cost to company.
Ok...
Dinesh V Divekar
From India, Bangalore
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