Boss2966
Industrial Relations
Kumaresank
Labour & Industrial Laws
Vidyashankar
Assistant Personnel Manager
Ashokjaj
Pay Roll And Hr
Jagdish.pathak
Corporate Human Resources
Vkokamthankar
Asst. General Manager - Hr
+10 Others

Dear all,
My self is working as asst hr manager in a public ltd co.
Can anybody tell me, when we issue an annual increment letter, is it statutory to mention get it accepted from employee by using sentence like 'I have read, understood and agree to abide by the aforesaid terms and conditions of employment.
or simply we can put a clause that pls accpet. I want if it is mandatory by law to get it accepted by employee or we can consider is as accepted by employee.
Pls help.
Regards,
Geeta

From India, Mumbai
Hello geeta,
Increment letters alwayz given after the appraisal is approved by the MD/CEO and the approved copy is send to Finance dept. you one state that your salary has been revised w.e.f the date usually first day of financial year. there is no need to take receiving from employees, simply place one copy in their personal files and the other should be submited to the finance. Alwayz handover the letters to head of depts. feel free to ask if you require further assistance.
Regards
Imran Wilson

From Pakistan, Islamabad
Thanks Imran,
But if an employee refuses to accept the increment letter because he/she is not convinced with the salary incremented, then is it compulsary to get it signed by employee and then incrment his/her salary?
pls suggest
regards,
Geeta

From India, Mumbai
Geeta,
If an employee is not willing to accept increment, then its not your problem..unless he/she would not accept the clause/letter formally(duly signed with)..he/she won't be entitle for revised pay scale...however everyone is working for money :)
You can formally announce on email, after that your part is over & ball is in different court. you can justify to management that i have done all formalities and this a formal email regarding this but i have not received any inputs from employee.
Hope i have answered your question...Thanks
Regards
Deepak

From India, Delhi
Thank you very much. But just a last question, is it not statutory i.e mandatory by law to put such clause like 'please accpet the copy as token of acceptance? Geeta
From India, Mumbai
It is advisable to have an acknowledgement of every correspondence including increment letters given to an employee and have it filed in the personal file. This helps us for any future reference and also comes handy in the event of any disputes.
With regards to the wordings you may wish to add "All other terms and conditions of your employment remains unchanged" . this line will help you to safeguard your interest.
Regards
Vidyashankar


Hi Geeta,
It is a general practice that acknowledgement of employee is not obtained on the annual increment letter unless there is change in other terms and conditions of employment. The reason for not obtaining the acknowledgement is that when an employee receives the revised salary, the same is considered as 'acknowledgement'. If an employee refuses to receive the increase salary because being dis-satisfied with the increment; s/he is required to put up the matter to appropriate authority for addressing the grievance.

From Pakistan
It won’t be necessary because a simple signature of employee shows his acceptance of the letter and the same can be kept as proof of acceptance of letter....Ashok
From India, New Delhi
It is not mandatory to get acknowledgement for appraisal / annual increment. Because in the offer of employment letter itself we might have given the following wordings
"YOU HAVE BEEN OFFERED IN __________(CADRE/DESIGNATION) AND YOUR BASIC SALARY IS FIXED Rs._______ P M. YOU WILL RECEIVE ALL OTHER ALLOWANCES AS PER THE ELIGIBILITY TO YOUR CADRE.
PLEASE NOTE THAT THE ANNUAL INCREMENT / APPRAISAL IS NOT ON AUTOMATIC BASIS AND IT WILL BE FIXED EVERY YEAR BY THE MANAGEMENT ACCORDING TO YOUR PERFORMANCE.
FURTHER PLEASE NOTE THAT THE SALARY AND PAY PERQUISITES PAYABLE TO YOU IS STRICTLY CONFIDENTIAL AND IT SHOULD NOT BE DISCLOSED TO ANY OTHER PERSONS.
Hence he is not supposed to disclose his increment salary or other perquisite details to others lest he will have to face the administrative / disciplinary action.
All the best
With warm regards
S Bhaskar

From India, Kumbakonam
There is no statutory obligation that compels you to state..."I have read, understood and agree to abide by the aforesaid terms and conditions of employment."

There is no legal binding that you should get the letter accepted by the employee.
However, it is necessary to get a copy of the letter signed in token of receipt and acceptance of the same.

The standard Increment Letter should include the following paragraphs:

1. All other terms and conditions of your appointment shall however remain unchanged.
2. Please sign the duplicate copy of this letter in token of your receipt and acceptance of the same.

The signed duplicate copy of the letter should be preserved in the employees' personal files.

Cheers!!!

Vasant Nair
HR Advisor

Pls help.
Regards,
Geeta[/QUOTE]

From India, Mumbai

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