My father in law is going to retire this month and he is been given a punishment for salary reduction till 3 years which has started in September 2018... will his punishment end while he is retiring or will it get continued even in pension payment... and what would be the salary consideration for gratuity calculation...is it the punishment period salary or his regular salary
From India
From India
It depends on the nature of the punishment of salary reduction awarded. If it is of cumulative effect it would certainly affect the individual’s pension.
From India, Salem
6016From India, Salem
Dear Anonymous
What the punishment order reads precisely? If it is stoppage of increment or demotion?
If it is stoppage of increment, it will have negative impact on his retrial to the extent on the increment amount which he has already lost for the year 2019.
If it was demotion and salary has been reduced to a lower Basic- he would have larger impact on his retrial like Gratuity , Pension and leave encashment etc.
He should make an plea to his disciplinary and reviewing authority with request to condone the same before retirement if it seems feasible to you, as many companies condone such punishment in event of retirement of such employee so to prevent the long lasting huge loss, as due the immediate retirement the gravity of punishment has become many times higher than what otherwise it would have been. (perhaps the company has erred in giving order to have effect of three years when he is retiring the next year).
Shailesh Parikh
99 98 97 10 65
Vadodara
From India, Mumbai
What the punishment order reads precisely? If it is stoppage of increment or demotion?
If it is stoppage of increment, it will have negative impact on his retrial to the extent on the increment amount which he has already lost for the year 2019.
If it was demotion and salary has been reduced to a lower Basic- he would have larger impact on his retrial like Gratuity , Pension and leave encashment etc.
He should make an plea to his disciplinary and reviewing authority with request to condone the same before retirement if it seems feasible to you, as many companies condone such punishment in event of retirement of such employee so to prevent the long lasting huge loss, as due the immediate retirement the gravity of punishment has become many times higher than what otherwise it would have been. (perhaps the company has erred in giving order to have effect of three years when he is retiring the next year).
Shailesh Parikh
99 98 97 10 65
Vadodara
From India, Mumbai
Thank you Shailesh for the reply, He is been demoted to lower basic and we are worried because his pay is reduced almost half..and if calculation is done basis that he will loose alot...He is working in Grameena bank and authority is given a punishment for 3 years even they are aware that he is going to retire in 6months.
From India
From India
The salary reduction for 3 years will continue till retirement of the employee. If there exist no financial component under the order of punishment. This depends upon the pronouncement of punishment.
There should not be any cut in pension payment.
From India, Mumbai
There should not be any cut in pension payment.
From India, Mumbai
It would be better if the poster comes out with the exact description of the punishment awarded. Reduction in salary to any particular lower stage on the pay scale is different from depromotion.
It would also be equally essential to go through the Bank's Service Regulations relating to award of punishments on misconducts of grave nature.
Like I mentioned earlier, if the reduction in pay is with cumulative effect and the employee gets superannuated later, his terminal benefits have to be computed based on his last drawn salary only.
If it is a punishment of demotion, his pay would have been revised to the stage in the scale applicable to the position.
From India, Salem
It would also be equally essential to go through the Bank's Service Regulations relating to award of punishments on misconducts of grave nature.
Like I mentioned earlier, if the reduction in pay is with cumulative effect and the employee gets superannuated later, his terminal benefits have to be computed based on his last drawn salary only.
If it is a punishment of demotion, his pay would have been revised to the stage in the scale applicable to the position.
From India, Salem
Yes, any suggestion depends upon the punishment imposed and also, the provisions of the regulations under which the disciplinary proceedings has been held and punishment imposed. As such, it is of importance to ascertain whether the reduction in pay has been with cumulative effect or otherwise. Anyhow, the punishment cannot prolong beyond retirement.
There are many a remedies available against the punishment imposed in such a proceeding such as filing an appeal, seeking judicial review etc. Has your father-in-law availed of such opportunities?
From India, Kochi
There are many a remedies available against the punishment imposed in such a proceeding such as filing an appeal, seeking judicial review etc. Has your father-in-law availed of such opportunities?
From India, Kochi
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