Dear All,
I am facing a problem in relieving an employee.
We have hired an employee two years back in Dy. Manager level and this year (April-06) he has been promoted as Manager. Now few days back he submitted his resignation and requested to relieve him on 9th of November. As per the appointment letter the notice period is three months or salary in lieu. Now i am coming to my problem, the management now asked the employee to serve the notice period. But he wants to leave early.
I need to come out with a solution to this problem by Friday. I request you to give your comments on the following.
1) Can the employee leave the organisation against the wish of management ?
2) Can we take any legal action against him if he turn down the management's order ?
3) Can we take any legal action against the employer where he is supposed to join if they allows him to join the organisation without our No Objection Certificate ?
4) What is the general practice to calculate the Notice Shortfall, on Basic Salary or CTC?
Please put your valuable inputs to solve this problem.
Regards
Sreekanth
From United States
I am facing a problem in relieving an employee.
We have hired an employee two years back in Dy. Manager level and this year (April-06) he has been promoted as Manager. Now few days back he submitted his resignation and requested to relieve him on 9th of November. As per the appointment letter the notice period is three months or salary in lieu. Now i am coming to my problem, the management now asked the employee to serve the notice period. But he wants to leave early.
I need to come out with a solution to this problem by Friday. I request you to give your comments on the following.
1) Can the employee leave the organisation against the wish of management ?
2) Can we take any legal action against him if he turn down the management's order ?
3) Can we take any legal action against the employer where he is supposed to join if they allows him to join the organisation without our No Objection Certificate ?
4) What is the general practice to calculate the Notice Shortfall, on Basic Salary or CTC?
Please put your valuable inputs to solve this problem.
Regards
Sreekanth
From United States
Hi Sreekanth,
To my knowledge there is no via media in this situation,
either the management can decide to relive the employee by waiving the notice period or the employee serves the notice period or pays money in lieu of notice
In case the mgt is not willing to waive the notice period then the employee has to serve the notice period or pay the salary in lieu of notice and yes the employee will have problems if he is joining an ethical & professional organisation coz he will not be able to give the relieving letter from previous employer and yes technically then he would be working full time for two orgns which is not legally valid in India and yes you can resort to legal proceedings if this were the case. but I would suggest you discuss with the mgt and the employee try to negotiate an amicable settlement in this case so that there is minimal damage done to both sides.
and yes salary in lieu of notice is calculated on the basis of CTC.
Hope this helps
Sherine
From India, Bangalore
20To my knowledge there is no via media in this situation,
either the management can decide to relive the employee by waiving the notice period or the employee serves the notice period or pays money in lieu of notice
In case the mgt is not willing to waive the notice period then the employee has to serve the notice period or pay the salary in lieu of notice and yes the employee will have problems if he is joining an ethical & professional organisation coz he will not be able to give the relieving letter from previous employer and yes technically then he would be working full time for two orgns which is not legally valid in India and yes you can resort to legal proceedings if this were the case. but I would suggest you discuss with the mgt and the employee try to negotiate an amicable settlement in this case so that there is minimal damage done to both sides.
and yes salary in lieu of notice is calculated on the basis of CTC.
Hope this helps
Sherine
From India, Bangalore
Dear
I think you shld not provide him the relieving letter in case he has not done a proper handover of his resp.
Salary Compensation in lieu of the notice period is one part but a person at this level shld give an appropriate notice period to ensure smooth handover of his reponsibilities., make him understand that this way he'll spoil his relationship with ths organisation.
You can take a legal action if he is not ready to pay the salary in lieu of the notice period which is clearly mentioned in the App. Letter and not otherwise.
Regards
Gunjan
From United States,
I think you shld not provide him the relieving letter in case he has not done a proper handover of his resp.
Salary Compensation in lieu of the notice period is one part but a person at this level shld give an appropriate notice period to ensure smooth handover of his reponsibilities., make him understand that this way he'll spoil his relationship with ths organisation.
You can take a legal action if he is not ready to pay the salary in lieu of the notice period which is clearly mentioned in the App. Letter and not otherwise.
Regards
Gunjan
From United States,
Dear Sherin, Thank you very much for your reply. Tomorrow our HR Head is coming to discuss about this subject and i will keep your advise in mind. Thanks once again Regards Sreekanth
From United States
From United States
Hi Sreekanth,
I think you shld not provide him the relieving letter in case he has not done a proper handover of his resp.
Salary Compensation in lieu of the notice period is one part but a person at this level shld give an appropriate notice period to ensure smooth handover of his reponsibilities., make him understand that this way he'll spoil his relationship with ths organisation.
You can take a legal action if he is not ready to pay the salary in lieu of the notice period which is clearly mentioned in the App. Letter and not otherwise.
Regards
Gunjan
From United States,
I think you shld not provide him the relieving letter in case he has not done a proper handover of his resp.
Salary Compensation in lieu of the notice period is one part but a person at this level shld give an appropriate notice period to ensure smooth handover of his reponsibilities., make him understand that this way he'll spoil his relationship with ths organisation.
You can take a legal action if he is not ready to pay the salary in lieu of the notice period which is clearly mentioned in the App. Letter and not otherwise.
Regards
Gunjan
From United States,
Dear Gunjan,
Thanks for your reply. We will not give him relieving letter unless he agrees to the decision of the management. However, i am trying to solve the problem without doing much damage either to the employee or to the organisation. I have already suspended processing his salary for the month of October and waiting for our Boss to come.
I will post the out come later.
Thanks once again.
Regards,
Sreekanth
From United States
Thanks for your reply. We will not give him relieving letter unless he agrees to the decision of the management. However, i am trying to solve the problem without doing much damage either to the employee or to the organisation. I have already suspended processing his salary for the month of October and waiting for our Boss to come.
I will post the out come later.
Thanks once again.
Regards,
Sreekanth
From United States
Dear Mr. Sreekanth,
In this case, either he has to complete his notice period or pay salary in lieu of notice as per the terms of appointment letter. Untill he has not given the relieving letter, he can't join another organisation legally. In that case you may take action against him. Salary in lieu of notice shall be calculated on the basis of basic or CTC as per the terms of appointment letter.
I suggest do not give him relieving letter.
Rgds,
JS
In this case, either he has to complete his notice period or pay salary in lieu of notice as per the terms of appointment letter. Untill he has not given the relieving letter, he can't join another organisation legally. In that case you may take action against him. Salary in lieu of notice shall be calculated on the basis of basic or CTC as per the terms of appointment letter.
I suggest do not give him relieving letter.
Rgds,
JS
Hi
There is no legal action which can be taken against employee OR the new employer where he will be joining
if he wishes to leave , then just recover notice pay n relieve
Notice pay in TYA is @ Basic
however in my earlier company it was on CTC
Pl check Appointment letter for notice pay recovery , if nothing is mentioned
then kindly include it from next appointments as a policy
Hope this helps
Thanks & Regards
Shobha Pandey
From India, Mumbai
There is no legal action which can be taken against employee OR the new employer where he will be joining
if he wishes to leave , then just recover notice pay n relieve
Notice pay in TYA is @ Basic
however in my earlier company it was on CTC
Pl check Appointment letter for notice pay recovery , if nothing is mentioned
then kindly include it from next appointments as a policy
Hope this helps
Thanks & Regards
Shobha Pandey
From India, Mumbai
We had a senior employee holding a very responsible and important project. Just 2 months from its completion he has submitted his letter with the two month's notice pay cheque and asked for release. We are not ready to release him but we have no grounds to fight it either becuase as per the appointment letter he has paid the notice pay. He is not available for a talk even. Several talks were done earlier but now he has stopped coming . How do I tackle this. I was suggested by the head to write to our clients and also our competitors in this regard so that they are aware before taking him (we know where he has gone) also that we may go legal.... etc. Can anobody help ? How should my letter be ? Its urgent. Pl. help.
Ann M
From India, Mumbai
Ann M
From India, Mumbai
Hi Sreekanth,
I too agree with Shobha. No legal action can be taken against the employee as he has himself submitted his resignation stating to be relieved. Moreover, he has informed the management almost 2 months prior his relieving date. In case the policy says for a 3 months notice period, then you may deduct the notice pay from his salary as mentioned in his appointment letter.
You may even refer to his appointment letter regarding voluntary or involuntary termination of services. I hope, that would give you clarity in this case.
Regards,
Surabhi
From Germany, Frankfurt Am Main
I too agree with Shobha. No legal action can be taken against the employee as he has himself submitted his resignation stating to be relieved. Moreover, he has informed the management almost 2 months prior his relieving date. In case the policy says for a 3 months notice period, then you may deduct the notice pay from his salary as mentioned in his appointment letter.
You may even refer to his appointment letter regarding voluntary or involuntary termination of services. I hope, that would give you clarity in this case.
Regards,
Surabhi
From Germany, Frankfurt Am Main
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