First of all, pl clarify/confirm what does your HR Policy say AND is there any clause in Appointment Letter [to this & any employee, in general] that no employee will work outside the company?
Pl elaborate so that the members can give more accurate & realistic suggestions.
This is in addition to what other members have said. First and foremost do you have sound information that he is running his own company? If yes, who is the owner? Most probably owner could be his spouse. In this case how are you going to handle the situation?
I do not think that he will be that foolish to start company on his name.
Second important thing is "conflict of interest". In what way his out of office work conflicts with your company? You need to probe that also.
Yes declarations about the spouse's businesses are important. But then to what extent these serve a purpose remains to be seen.
Dinesh V Divekar
A person is the permanent employee of the company and his working hours are 9 to 5.30pm.
What if he is running his own firm by taking the TIN number and SSI certification, he is having the ownership of the firm without information of the company.
can a company take any legal action against him? If yes what is the process of this.
Does the skills that he has been using to manage his business , run parallel to the skills required by him to deliver the job at your firm?
Suppose if a Manager Operations at a factory , offers tutorial classes to school student in the evening, it doesn't pose as a threat to skills required to deliver in the factory.
However, if a teacher is doing so, its definitely questionable.
Here's a discussion on dual employment under Factories Act Dual employment
Please go through your company policies and his appointment letter,if any clause says that he should not be engaged out side or should not have any own business ,then you can think in terms of your opinion.
But before taking decision , Sound proof should be with you.