Hello,
1. We have 4 employees in our startup company who are with us for about 6 months.
2. We incorporated as private limited 2 months back.
3. we have not given appointment letters and would like to sort it out now.
My questions.
1. How to give now? Is it okay to give appointment letter in the name of company dated 6 months back even though company is 2 months old. This is the main confusion and we want information for this.
Please help.
From India, Chennai
1. We have 4 employees in our startup company who are with us for about 6 months.
2. We incorporated as private limited 2 months back.
3. we have not given appointment letters and would like to sort it out now.
My questions.
1. How to give now? Is it okay to give appointment letter in the name of company dated 6 months back even though company is 2 months old. This is the main confusion and we want information for this.
Please help.
From India, Chennai
Dear,
The appointment letter should be given to an employee on the same day of joining with same date.
In your case, as company got incorporated 2 months back, you can issue the letters with any date after incorporation to make it valid on new letter head. However in these letters you may mention about their services with this establishment when it was was a partnership/proprietorship firm to show continuous services with you since the beginning.
Or else for the initial 4 months, you may issue the letters on the old letter head of your establishment, if any.
From India, Delhi
81The appointment letter should be given to an employee on the same day of joining with same date.
In your case, as company got incorporated 2 months back, you can issue the letters with any date after incorporation to make it valid on new letter head. However in these letters you may mention about their services with this establishment when it was was a partnership/proprietorship firm to show continuous services with you since the beginning.
Or else for the initial 4 months, you may issue the letters on the old letter head of your establishment, if any.
From India, Delhi
Dear Ravindran,
There is nothing wrong to correct the ommissions or errors in actions with post dated communications by showing retrospective effect to any event, specifically the appointments, as made from the actual date.
So,, don't be afraid in issuing appointment letters with date on which that is actually issued (not back dating) showing their date of appointment from the date of their actual joining. That represents the honest effort to regularise a ommissions or errors. Backdating appointment letters may some times create legal problems. So, avoidable things should be avoided in honest functining of any organisation.
From India, Delhi
There is nothing wrong to correct the ommissions or errors in actions with post dated communications by showing retrospective effect to any event, specifically the appointments, as made from the actual date.
So,, don't be afraid in issuing appointment letters with date on which that is actually issued (not back dating) showing their date of appointment from the date of their actual joining. That represents the honest effort to regularise a ommissions or errors. Backdating appointment letters may some times create legal problems. So, avoidable things should be avoided in honest functining of any organisation.
From India, Delhi
Before incorporating as private limited we did not have registration of any kind. They were working informally. Anything that can be done in this case?
From India, Chennai
From India, Chennai
Thank you for all the replues. @psdhingra @HR_ROY
One more question.
1. we are less than 10 employees. So, no need for PF and ESI. Can you give breakup for salary of 15000. Basic Pay, HRA and Fuel allowance. ESI is applicable only if gross salary is less than 10,000 right?
From India, Chennai
One more question.
1. we are less than 10 employees. So, no need for PF and ESI. Can you give breakup for salary of 15000. Basic Pay, HRA and Fuel allowance. ESI is applicable only if gross salary is less than 10,000 right?
From India, Chennai
Dear Ravindran,
ESI is applicable less then 15000/- gross salary per month. and also where 10 or more worker is working with add on power in company.
Now PF eligibility also same. but basic +DA should be less then 15000/- per month
Break up of 15000/- as per my view
Basic - 6000 (40% of salary)
HRA - 2400 (40% of basic) It can be 50% of basic if employee residing in 4 metropolitan city in INDIA.
Transport All - 1600
Special Allowance - 5000
Total Gross - 15000/-
Thanks
Devendra Gaur
From India, Faridabad
ESI is applicable less then 15000/- gross salary per month. and also where 10 or more worker is working with add on power in company.
Now PF eligibility also same. but basic +DA should be less then 15000/- per month
Break up of 15000/- as per my view
Basic - 6000 (40% of salary)
HRA - 2400 (40% of basic) It can be 50% of basic if employee residing in 4 metropolitan city in INDIA.
Transport All - 1600
Special Allowance - 5000
Total Gross - 15000/-
Thanks
Devendra Gaur
From India, Faridabad
Dear Ravindran,
You will know some more inf. from this link wherein similar subject was discussed a few years ago.
https://www.citehr.com/399568-legal-...etter-pg2.html
The appointment letter need not be back dated which necessitates due to the reason that this new start up co. came into existence only 2 months ago and it would be a tech.error if the date of letter is mentioned as if in existence 6 months ago. Therefore it will be in order to issue the letter dt. the day when it's incorporated, but it's also necessary in order to regularise the services from the date of joining. The fact must be mentioned in the apptt.letter. with suitable wordings. I would suggest a paragraph suitably placed in the apptt.letter among other terms & conditions with prospective date, as follows:
To
Mr./Ms...
xxxxxxx
xxxxxxxx
Past service before the incorporation of the Co.:
You are appointed as .....in this firm w.e.f..... However your service rendered prior to the incorporation of this co. is deemed to be regularised for all purposes from the date of joining/from the commencement of the operations i.e. with effect from ...... which shall be reckoned as "Date of Joining" and would be the commencement of the 'Continuous Service' under various rules like , EPF, Gratuity, Bonus, Pension etc...
xxxxxxxxxxx
As a token of agreeing to the above terms & conditions I, Mr/Ms....... affix my signature here under and affirm that I shall not raise any dispute whatsoever specifically so far as the 'Past service' as mentioned above.
Signature of employee:
Name:
From India, Bangalore
You will know some more inf. from this link wherein similar subject was discussed a few years ago.
https://www.citehr.com/399568-legal-...etter-pg2.html
The appointment letter need not be back dated which necessitates due to the reason that this new start up co. came into existence only 2 months ago and it would be a tech.error if the date of letter is mentioned as if in existence 6 months ago. Therefore it will be in order to issue the letter dt. the day when it's incorporated, but it's also necessary in order to regularise the services from the date of joining. The fact must be mentioned in the apptt.letter. with suitable wordings. I would suggest a paragraph suitably placed in the apptt.letter among other terms & conditions with prospective date, as follows:
To
Mr./Ms...
xxxxxxx
xxxxxxxx
Past service before the incorporation of the Co.:
You are appointed as .....in this firm w.e.f..... However your service rendered prior to the incorporation of this co. is deemed to be regularised for all purposes from the date of joining/from the commencement of the operations i.e. with effect from ...... which shall be reckoned as "Date of Joining" and would be the commencement of the 'Continuous Service' under various rules like , EPF, Gratuity, Bonus, Pension etc...
xxxxxxxxxxx
As a token of agreeing to the above terms & conditions I, Mr/Ms....... affix my signature here under and affirm that I shall not raise any dispute whatsoever specifically so far as the 'Past service' as mentioned above.
Signature of employee:
Name:
From India, Bangalore
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Appointment letter-format.d oc