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Kavita R
3

Dear All,
This is a case related to construction industry where one of the employees took some money(as he was in need ) from another person working with the client and left the company without notice . Since he was not coming at site .The person who lent him the money started looking for him and told his seniors about him who in-turn approached the company . As an organisation how can we keep ourself out of it without creating dispute with the client .
Regards
Kavita

From India, New Delhi
Ashoknegidi
169

Hi Kavitha, You need not worry to take care this kind of things, just leave the topic because the organization is not responsible this acclivities.
From India, Hyderabad
pon1965
604

The person used his personal cult to secure loan from another person. The dispute is deemed to be in between the individuals. Both the organisations are out of the picture. Pon
From India, Lucknow
NavneetSarin
94

Dear Kavita,

This is a real problem and such employees exist in most of companies, Although there are policies in all the companies that none of the employee should borrow and money from vendors but in reality this does not happen. Here two important points are there to consider:

1st your Company is not responsible for the personal actions and omissions of the employees and legally you are not responsible to the lender as lender had not taken consent from the Company before lending the money.

2nd point is when the money was given the borrower was your employee and he might have used his official clout to take money from the Vendor's employee. And non refund of this amount will cause unnecessary dispute with that person. I am sure it can harm the interests of your company some where indirectly.

In this case just tell the lender that your company do not appreciate these type of transactions as these transactions are treated like bribing people by Vendors and also inform the same to his seniors. So they must inform there employees strictly not to enter into similar transactions in future and if any of the Company employees ask for some money or favors they must inform your Company immediately. You also issue a circular to all your employees and warn them of strict action if any body is found doing similar misconduct he will be sacked or strict penal action will be taken.

To solve the present case just assure the lender that you sympathize with him personally and will try to help him recover his dues. As your employee has left the job without intimating the company and there may be some wages or other funds payable to him and he may come to settle the accounts. Just make sure the lender should be present at the time of settlement of account and then let them settle the account themselves.

I hope by doing so you can settle the dispute and avoid similar problem in future.

From India, Delhi
Saurabh_151981
3

As the company is not responsible for this type of transaction but you may add a point in the terms & conditions with every client that any transaction made in cash/cheque to employee on personal level, will not be liable to pay by company so don't pay any amount without company receipt to employee.
Regards

From India, Delhi
saswatabanerjee
2383

Navneets aug tensions are correct.
I will add another thing, give over all contact information of the absconding employee to the lender.
He can go over and catch him to recover the money.
It may also help for some manager to call and speak to the absconding employee and ask him his intentions of repaying the amount. (not sure how much this will help).
As naveen suggested, it is important for you to communicate to the clent (to the owners and top management) of the type of transaction and upraised them that they need to ensue this does not happen. I to mating them now will ensure you can not get blamed for it later.

From India, Mumbai
NavneetSarin
94

Dear Kavita,
Further to my reply on yr query I wish to add one thing HR / Administration as I call it( as HRD is a wrong word for all these type of matters) is a very different Job and to excel in this trade one must have couple of capabilities like:
1. Person should know how to act under pressure and maintain your calm.
2. He/She should have guts to stand for the right thing.
3. He/She should have capabilities to convince and some time even manipulate the agitated party. As once some one is angry/agitated he wont listen to reasoning and will not accept the reality.
4 A successful HR person must have reputation of no nonsense but human person, who is ready to help the needy and must be lenient with genuine people.
If these qualities are there one can succeed in HR/ADMIN.
With best wishes..

From India, Delhi
raju1983
22

Hi Kavita,
In today's scenerio, where brother brother is not ready to help there vendor help to the employee who not know him properly. what a people here is!
I know that anyhow whatever step you will take, direct or indirect effect on company. You cannot stop this kind of employee behaviour but you can put the terms and condition against it in notice board or important place where everybody can see. Company can only come into picture if he provided any company document and if not, then you don't have to worry.
This case is totally blind - if that employee not provided any document to him.
Kasim

From India, Mumbai
Kavita R
3

Dear all,
Thanks for the suggestions . We have been able to track the employee and asked him to talk to the lender .Situation is under control. It was a tricky situation as we were getting calls from the client's senior person as well .
Regards
Kasturi Rao

From India, New Delhi
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