Dinesh Divekar
Business Mentor, Consultant And Trainer
Lavika Yadav
Insolvency N Gst Professional

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Hi All,
Inspite of a transparent and crisp hiring process and continuous candidate engagement some candidates just do not turn or intimate they are moving on and we are left waiting. How does one handle this crisis? Can a legal notice be issued as we end up spending so much time and money on the candidate.
Has any company take important steps to prevent this, if so plz share.

Dear Bhakti,
Job candidates appear for job interview, get selected and they are issued offer letter also. But at the time of joining if they do not turn up then it is called as "no show". Have you found out the reasons for "no show"?
Few of the reasons could be as below:
a) Salary offered not attractive
b) Work environment or office culture that they come across during interview not attractive
c) Quality of the selection process not up to the mark. Interviewer, especially top boss projects image of ogre in the interview!
d) Compared with competitors, company does not have that good brand image
e) Negative publicity of the company by the former employees
f) Job candidate not needy
g) Company has refutable records about regularity in payment of salary or allowances
There could be few more reasons also. Your query is on legal action against job candidate for failure to honour the terms of offer letter. Well, offer letter is not appointment letter and cannot be called as contract per se. Yes, you may take legal action provided you take undertaking from the job candidate that come what may he will join your company on a specified date and if he/she fails to do so then your company reserves right to take legal action. If you include this kind of clause in the offer letter, how many candidates will accept the offer letter? Please find out yourself!
For the companies that fall into the category of Small and Medium Enterprises (SMEs), "no show" is fait accompli. It is not a HR challenge but a challenge to the leadership. That is why, leadership must grow the company, acquire positive brand image and make sure that job candidates chase the company rather than you chase them!
Dinesh Divekar

Thanks Dinesh for the detailed answer. Yes I do know that adding that clause in the offer letter is not a good idea, but the culture & brand image and reviews by former employees are all good. We dont bloat up the CTC package we are at par but dont do counter offers or use money as the only motivator. I clearly see people choosing only money over technology and kind of work they will handle and the support they will get. Yes we will open this out to leadership and see.
No shows do take place. There is no scope whatsoever to take action against candidates who commit "No show"
Dear Bhakti,
This is my supplementary post to the previous one. Earlier there were similar queries wherein experts have given their comments. You may check the following links:
Dinesh Divekar

Thanks for the links Dinesh and I do understand your point.
It also rests on the clause of an offer letter , our offer letter clause has the below:
Loss of Opportunity: By signing this letter, you agree to reimburse <<our company name>> the
recruitment costs and loss of opportunity caused by not joining duty on or before the
agreed date. The cost applied to you will be the equivalent of 30 days of the CTC
mentioned in this document'
This is a rightsignature offer letter that gets signed by both parties.
My point is simple, if the CTC is not attractive or a candidate is not happy with the culture he has all the right not to sign and if he has signed atleast intimate us that he is not joining. Why play the fool of a no show. This candidate that I am chasing spoke to me on Friday and 2 hrs before coming asking dress code etc, he seems to be playing this prank with many SMEs and I want him to think before repeating this mistake. If a candidate after signing lets me know 2 days in advance I just move on and leave it there but now I see a different breeze blow which is unhealthy for SMEs.
"Glassdoor reviews" are for companies and its all good for us there what about a glassdoor review for candidates who are purposely notorious?
I hope SMEs sit together and create a movement wherein we help each other and signal each other to not fall prey to unethical behavior.

""Loss of Opportunity: By signing this letter, you agree to reimburse <<our company name>> the
recruitment costs and loss of opportunity caused by not joining duty on or before the
agreed date. The cost applied to you will be the equivalent of 30 days of the CTC
mentioned in this document'""
This clause will not hold water in a court of law.
Proving opportunity cost is difficult, especially for middle or lower level employees.
Dont get carried away by behaviour of a single person.
There is really no loss of opportunity as another person can be hired.
Ussually companies write -if you do not join by---- offer is treated as cancelled.

There may not be a legal scope to force a candidate to join after getting the offer letter.In many cases the candidates negotiate the salary package in their existing company and once getting the higher salary , decide not to change the job.
Some companies take some of the original documents/certificates while issuing the offer letter and give them back after the candidate joins. This may not be fully effective ,but to some extent it may work.

Being a recruiter and hr professional ,such issues arises every now and then. Yes, we r human too and we get frustrated. After spending five years in HR, I am bit able to screen candidate's interest while issuing the offer letter. Few tips, wish it would be helpful.
1.Just stay in touch with candidate. Check their attitude, once you issue the offer letter, shortlisted candidate starts ignoring your call then its the high time to start taking the back up. Backup is always good so you don't have to start search again.
2. If you use naukri.com or some portals to search candidates, search for the shortlisted candidate,if he is regularly updating his CV then he is just using your offer letter.
3. Ask for resignation mail from his current employer,it is the main thing to cater the candidate.
4. At the time of interview,just check his psychology. Ask indirectly how keenly is he looking for job. Whether he is just looking for time pass or for serious need of change. How many interview he has faced recently. I know nobody will answer genuinely but you have to reach his/her mindset.
5. MOST important check the CV,if candidate is completing his/her one year tenure or about to reach his appraisal time then dont consider him/her. Chances are high that he/she will use offer letter for raising his values in current company or some future companies. If still u need to consider him/her then ask the proper reason why he /she wants to switch before Increment.
These are my learnings,I don't know how seniors will take it , pardon if I am wrong somewhere.
Now in the last point- Dont get frustrated, just call those candidates after 15-16 days and politely tell them such behavior put your stake in risk.Market is small, we use to keep meeting again and again,so if you want to decline do it honestly. It will be time saver and reputation saver for both of us. Then dont wait for their reply, end with a Thank you note.
Accepting/ declining is upto candidate..dont take it to heart. This will continue as this tendancy can not be curbed. Stay positive.
All the best !!!!

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