Employee has withdrawn the resignation during the notice period. What should be done to the salary revision? - CiteHR
Saswatabanerjee
Partner - Risk Management
Gannahope
Deputy Commissioner Of Labour..a.p.
Korgaonkar K A
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We are an IT Service company. We have a pay revision cycle every April. As per our policy during pay revision will be not be applicable for the individual if he/she is in notice period (3 months). One of our employee has withdrawn the resignation during the notice period. What should be done to the salary revision? Should it be made effective from April and arrears paid in this month or will the revision be effective from the month the resignation was withdrawn? Kindly let us know good practice or industry practice.
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Revision of salary is not a mandatory requirement. It is purely based on the performance and company's capacity to pay / incur additional expenditure. For an employee resigned and then withdrawn, the revision of salary to be considered or not , if considered since when, all to be your corporate decision / policy.
As Babu has explained, there are no rules in this regard in the law. However you need to see the company policy on it. Further, you need to see it from HR and IR point of view
- Why has he withdrawn the resignation? Because he wants to take advantage of the increment and then leave ?
- or is it that he canít find another job (or offer withdrawn)
- did someone induce him to stay and you want to retain him ?
Whether you should give him the increment or not (or give him with retrospective effect) depends on answers to the above and what the plans of your management is with respect to this employee. You need to speak to the relevant decision maker and take his opinion
Sir you know the answer.Actually more clarification is required to us... usually the question of notice period arises . . for managements... ok suppose if it falls for employees like in this case. does the company approved his re entry... ok approved.. then what is the the management opined for his notice period... to nullify the notice period as a special case.. and gave an approval to continuation of service.... treating his absence as lop. or any leave. period. if it is loss of pay period or any leave he is eligible for the new pay scale. ok
Dear Friend,
Be in the shoes of other person then you will come to know what is good practice.
The employee is in continuous service. He has not left and rejoined. He withdraw his resignation during notice period. Presume you are that employee and you are deprived of annual increment. How will you take it? Will your moral still at high?
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