Cancellation Of Company Accommodation - CiteHR
Dinesh Divekar
Business Mentor, Consultant And Trainer
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Dear Experts,
Request your kind suggestion on the below issue.
We have provided accommodation for few employees at the initial stage, based on their request. Now due to heavy financial crisis management had decided to retrieve the accommodation facility and accordingly prior intimation ( 2 months) had been given to the concerned employees via Orally , Notice board and through Register Post . But now when we asked the employees to vacate the rooms they refused. In this scenario have decided to stop paying the rent and deduct the room advance amount from their salary.
Please suggest whether this is lawful? and give your valuable inputs.
Regards,
Deepan R
attribution https://www.citehr.com/member.php?u=2238464#ixzz334iE5nZH

Dear Deepan,
What fringe benefits to provide, to whom to provide, how to long to provide etc is the discretion of the management. When the business environment was conducive, you had provided these benefits. Nothing wrong per se if you wish to withdraw these benefits. Secondly, you have given sufficient notice for the withdrawal of these benefits as well. Therefore, your company cannot be defaulted on this count.
How many employees avail of company-given accommodation? Why you had sent the letters by registered post? Why you did not issue the letters personally?
Now also you may issue the individual letter stating company's further course of action. Obtain signature of the individual on the duplicate copy. Let the letter be signed by GM or VP or MD. If some employee refuses to accept the letter, put that employee under suspension.
Thanks,
Dinesh Divekar

Dear Deepan R,

I echo Dinesh. The benefit that was offered must had a clause, that mentioned how it can be revoked. The rules for eviction, must have been mentioned there, which the employees signed before they took the possession. Please read the document . Issue letters with the guidelines. If possible get an advisor to proof read before you get your employees sign them .

Our experts can help you, if you can upload the content.

Please handle the communication very carefully.

Do think for the employees as well. If you are asking them to shift, how you found any option for them where they can live and afford the place ?

They are at work all the time, hence may not be able to home-hunt.

Please offer them best assistance . You would need them to remain productive and not be disgruntled at work.

If they have to shift far away from the location, offer a different timing, incase you cannot provide any transportation.

This is transition period for them. Please remain patient .

This might sound fictitious now, but partner a turnaround to your company with them. Take them along as you progress and you will build a stronger team.

Wish you all the best !

Dear Divakar Sir,
Thanking you for your valuable advice .
Total of 11 Employees are given accommodation .The reason why have sent the intimation through Reg.Post is the employees failed to accept when we had distributed it in person .
once again appreciating you for u'r suggestion.
Warm Regards,
Deepan R

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