Dear All,

Recently, I have joined as an HR Manager in a company. Previously, they used to give salary as usual to employees who are in the Notice Period. However, now they are asking me to establish rules and regulations, as well as the pay structure (whether Basic or HRA, etc.) for employees serving in the Notice Period.

Please assist me in creating the pay structure and rules and regulations.

Thanks and Regards,
Sravanthi

From India, Hyderabad
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Please note that employees serving the notice period are eligible for salary until the date of relieving as per the appointment letter. Salary cannot be reduced during the notice period. Please let me know why the salary has to be reduced during the notice period.
From India, New Delhi
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Normally, only Basic is included because when the point comes for Leave Encasement, Basic is considered. In that case, for the shortfall of Notice Period, Basic has to be considered.

Regards, Y.R. Shirke

From India, Mumbai
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In my opinion, there is no scope to reduce the salary even during the notice period. If an employee is serving during the notice period, then he is entitled to get the same salary to which he was entitled to during his normal course of work.
From India, Kolkata
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Notice period is served in accordance with the terms of employment . Hence no deduction of salary on account of the same can be made .

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Dear Sravanthi,

The members above have given you a correct reply. My question to you is: as an HR Manager, do you believe it is justifiable to reduce an existing salary when an employee is fully dedicated to completing tasks or transitioning work smoothly to a new candidate? Is this action a punishment or a reward for their service to the company?

Furthermore, what if an employee only serves a notice period for 1-2 hours daily until the end of their notice period – would that be sufficient? If an employee dedicates 8 hours a day, they should receive appropriate wages or salary as mutually agreed upon during their appointment or subsequent increments, up until their last day of service.

Thank you.

From India, Ahmadabad
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Sravanthy,

Your question is not clear. So far as I have understood, you meant to say that those employees who are serving the notice period should be paid basic salary only and not the allowances? Please confirm.

From India, Thane
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In my opinion, there is no scope to reduce the salary even during the notice period. If an employee is serving during the notice period, then he is entitled to get the same salary to which he was entitled during his normal course of work.
From India, Jaipur
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Normally, there should not be any reduction in salary for the notice period service, as it is considered a normal working period until the employee's last day of work in the establishment. If there is any adjustment needed for the earned leave accumulated by the employee during the notice period, it should be calculated based on Basic + DA only.
From India, Chennai
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Thank you for everyone whoever clarified my doubt regarding payment in Notice Period..Finally I came to know that,there will be no deduction in salary for the Notice Period Service.
From India, Hyderabad
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