Umakanthan53
Labour Law & Hr Consultant
Nathrao
Insolvency N Gst Professional

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Some of the options that a company have in case of absconding are:
- Hold the Full & Final Settlement
- No relieving letter
- Providing Negative reference
- Post a Rating & Negative review on International Register of Employee & Employer Ratings. www.ireer.org
- Hold Social Benefits (such as PF) payout to the possible extend
- Initiate Legal action for recovery of penalty for leaving without notice, if covered in the employment letter
- Enter employee details in a common Blacklisted employees list like the one from NASSCOM

First of all why should an amployee want to abscond?
Employment terms should be clear and open.
An employee absconds for various reasons.
One among them is dissatisfaction with job or supervisor etc.
While one can never create a perfect work place but one can attempt to have a workplace which is open hearted and progressive
Best remedy for an absconding employee is do an enquiry and document the fact..
While one should not go out of the way to mar his future prospects, company can give factual information if in the remote instance reference is askef.
Do his final settlement abd pay the due balances.
There is no right to wuthold his payments fir periid of work.

Dear Gupta,

Abscondence by an employee is basically a breach of the contract of employment And as such a grave misconduct punishable under the service regulations applicable to his cadre of employment.

However, since abscondence or abandonment of employment is distinctly different from that of absence without prior permission or intimation, it is imperative that the act of the employee is to be proved beyond doubt that of abscondence/abandonment of employment by means of disciplinary proceedings initiated in this regard.

In short, it should be proved by the employer that despite all the reasonable means to contact him, the employee remained incommunicado and a formal order of termination of employment should be issued.

Then only comes the step of black-listing etc., suggested in your post.

Even then, I am unable to accept the withholding of monetary dues like the ones mentioned in your post. When it is dismissal for abandonment, no question of deduction of notice pay from the F&F settlement. Certain dues like wages for the part period worked just before abandonment, statutory bonus etc cannot be withheld indefinitely or simply forfeited: instead such amounts may be deposited with the State Labor Welfare Board under the head of unclaimed amounts if there exists such a provision. As an yet another example of statutory requirement in such a situation, statutory gratuity due to an employee cannot be withheld on the ground of his dismissal for the proven misconduct of abandonment of employment : in stead you can take steps to disburse it to the nominee, if any formally declared by the individual or simply deposit it with the Controlling Authority under the PGA, 1972. Otherwise, if any claim is made by the employee or the nominee later, you will have to bear the burden of interest under the Act.

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