Dear Sir,
Our company employee left the company without notice period. Is it compulsory to give him the full and final settlement? If no, what can the employee do against the company? If yes, what about the notice period?
Thanks and Regards,
Talib Ansari
From India, Lucknow
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Our company employee left the company without notice period. Is it compulsory to give him the full and final settlement? If no, what can the employee do against the company? If yes, what about the notice period?
Thanks and Regards,
Talib Ansari
From India, Lucknow
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Dear Talib Ansari,
What is the exit clause in your company? Was the employee on probation or was he a confirmed employee? What was the notice period clause mentioned? Technically, deduct the notice period as per the company policy and then pay his F&F (if any balance). But first, you need to be very clear about your company's exit clauses to ascertain the Notice Period Pay deductions.
Regards,
Ashutosh Thakre
From India, Mumbai
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274What is the exit clause in your company? Was the employee on probation or was he a confirmed employee? What was the notice period clause mentioned? Technically, deduct the notice period as per the company policy and then pay his F&F (if any balance). But first, you need to be very clear about your company's exit clauses to ascertain the Notice Period Pay deductions.
Regards,
Ashutosh Thakre
From India, Mumbai
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Hi,
When an employee leaves without notice, you should do the following:
1. Send him a notice asking him to come back to work and serve his notice period.
2. If he does not respond, then you need to compute the cost of the notice period, cost of equipment, etc. with him and any other losses caused by him that you are allowed to recover (ref sec 6 of the Payment of Wages Act).
3. Pass entries in accounts debiting the amount to his salary and keep detailed documentation of the same in the file.
4. If there is a balance left after that (from the salary for days worked but not paid), you need to enter that in the unpaid wages register. You are not under any obligation to remit the money to him. Let him come and settle (which he will probably not). In fact, your notice should say that he needs to pay the notice amount.
5. Please note that after a period of 3 years, the balance amount needs to be paid to the labor welfare fund.
From India, Mumbai
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When an employee leaves without notice, you should do the following:
1. Send him a notice asking him to come back to work and serve his notice period.
2. If he does not respond, then you need to compute the cost of the notice period, cost of equipment, etc. with him and any other losses caused by him that you are allowed to recover (ref sec 6 of the Payment of Wages Act).
3. Pass entries in accounts debiting the amount to his salary and keep detailed documentation of the same in the file.
4. If there is a balance left after that (from the salary for days worked but not paid), you need to enter that in the unpaid wages register. You are not under any obligation to remit the money to him. Let him come and settle (which he will probably not). In fact, your notice should say that he needs to pay the notice amount.
5. Please note that after a period of 3 years, the balance amount needs to be paid to the labor welfare fund.
From India, Mumbai
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