Difference Between Suspension Pending Inquiry and Punitive Suspension
What is the difference between suspension pending inquiry and punitive suspension?
Subsistence Allowance During Suspension
Also, for a suspended worker, is subsistence allowance required to be paid or not during the suspension period?
Thank you.
From India, New Delhi
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425What is the difference between suspension pending inquiry and punitive suspension?
Subsistence Allowance During Suspension
Also, for a suspended worker, is subsistence allowance required to be paid or not during the suspension period?
Thank you.
From India, New Delhi
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Dear Kumar,
Understanding Suspension in Employment
In the realm of employment, the term 'suspension' refers to the state of an employee being temporarily kept away from discharging their duties by the employer under the contract of employment while the contract remains intact. Suspension can be ordered by the employer when certain charges of grave misconduct are contemplated against the employee and/or a domestic inquiry is to be conducted into the charges already framed as a pre-emptive measure to prevent the delinquent from tampering with records or influencing witnesses with their official position. This is called "suspension pending inquiry."
Punitive Suspension
Suspension can also be awarded as a punishment upon the conclusion of disciplinary proceedings. This is called "punitive suspension."
Subsistence Allowance During Suspension
Subsistence allowance is the sum paid during the entire period of suspension pending inquiry, as the employee is deprived of their normal salary due to the suspension. The rate of subsistence allowance is calculated as a percentage of the salary drawn immediately before suspension and varies according to the duration of suspension. The rate is fixed under the Standing Orders or any other special law in force for the purpose. Normally, it is 50% of the last drawn salary during the first 90 days of suspension, 75% during the next 90 days, and beyond 180 days, it can be 100%. The objective is two-fold: first, to enable the employee to participate in the disciplinary proceedings despite the loss of earnings due to suspension, and second, to indirectly compel the employer to dispose of the disciplinary action expeditiously. No deductions other than contributions to ESI shall be made from the subsistence allowance, which shall be paid monthly on the normal date of salary disbursement. It can be reduced if there is any delay in the disciplinary proceedings attributable to the suspended employee, or it can be denied if they are found to be gainfully employed elsewhere. Thus, the payment of subsistence allowance is an inseparable part of the entire process of suspension pending inquiry, and any default or deviation by the employer in this regard would vitiate the entire disciplinary proceedings.
Regularization of Suspension Period
It is to be noted that suspension pending inquiry is not a punishment. Therefore, upon the disposal of the disciplinary proceedings with any punishment other than dismissal, the period of suspension undergone shall be regularized, and salary minus the subsistence allowance received shall be paid to the employee. Otherwise, it will amount to double punishment. It would not be out of context to mention here that in the absence of a provision for suspension pending inquiry in the contract of employment or the service regulations, the employer can still place a delinquent employee under suspension pending inquiry, subject to the condition that they shall be paid their normal wages as subsistence allowance.
Implications of Punitive Suspension
Punitive suspension, on the contrary, is a punishment, as the very name suggests, and has an indelible stigma attached to it, thereby depriving the employee of the salary for the period of suspension, breaking continuity of service for the purpose of periodical increments, terminal benefits, etc. Punitive suspension can be awarded only for the maximum number of days prescribed in the Standing Orders or service regulations, and it is 30 days, if I remember correctly. At times, the number of days spent on suspension pending inquiry can also be ordered by the disciplinary authority in the end to be treated as punitive suspension; however, the subsistence allowance already paid cannot be recovered.
Judicial Perspective on Suspension Practices
Therefore, the suspension of the services of an employee pending inquiry or as a measure of punishment is an important step in the disciplinary process. Keeping the delinquent employee under prolonged suspension without or with a belated inquiry just because they have been paid subsistence allowance, placing an employee on suspension on the very date of their superannuation on flimsy charges, etc., have been regarded as unfair practices on the part of the employer by the higher judiciary in a number of cases. It shall be handled by the employer with utmost care and discretion, failing which it can have a boomeranging effect in judicial review.
From India, Salem
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Understanding Suspension in Employment
In the realm of employment, the term 'suspension' refers to the state of an employee being temporarily kept away from discharging their duties by the employer under the contract of employment while the contract remains intact. Suspension can be ordered by the employer when certain charges of grave misconduct are contemplated against the employee and/or a domestic inquiry is to be conducted into the charges already framed as a pre-emptive measure to prevent the delinquent from tampering with records or influencing witnesses with their official position. This is called "suspension pending inquiry."
Punitive Suspension
Suspension can also be awarded as a punishment upon the conclusion of disciplinary proceedings. This is called "punitive suspension."
Subsistence Allowance During Suspension
Subsistence allowance is the sum paid during the entire period of suspension pending inquiry, as the employee is deprived of their normal salary due to the suspension. The rate of subsistence allowance is calculated as a percentage of the salary drawn immediately before suspension and varies according to the duration of suspension. The rate is fixed under the Standing Orders or any other special law in force for the purpose. Normally, it is 50% of the last drawn salary during the first 90 days of suspension, 75% during the next 90 days, and beyond 180 days, it can be 100%. The objective is two-fold: first, to enable the employee to participate in the disciplinary proceedings despite the loss of earnings due to suspension, and second, to indirectly compel the employer to dispose of the disciplinary action expeditiously. No deductions other than contributions to ESI shall be made from the subsistence allowance, which shall be paid monthly on the normal date of salary disbursement. It can be reduced if there is any delay in the disciplinary proceedings attributable to the suspended employee, or it can be denied if they are found to be gainfully employed elsewhere. Thus, the payment of subsistence allowance is an inseparable part of the entire process of suspension pending inquiry, and any default or deviation by the employer in this regard would vitiate the entire disciplinary proceedings.
Regularization of Suspension Period
It is to be noted that suspension pending inquiry is not a punishment. Therefore, upon the disposal of the disciplinary proceedings with any punishment other than dismissal, the period of suspension undergone shall be regularized, and salary minus the subsistence allowance received shall be paid to the employee. Otherwise, it will amount to double punishment. It would not be out of context to mention here that in the absence of a provision for suspension pending inquiry in the contract of employment or the service regulations, the employer can still place a delinquent employee under suspension pending inquiry, subject to the condition that they shall be paid their normal wages as subsistence allowance.
Implications of Punitive Suspension
Punitive suspension, on the contrary, is a punishment, as the very name suggests, and has an indelible stigma attached to it, thereby depriving the employee of the salary for the period of suspension, breaking continuity of service for the purpose of periodical increments, terminal benefits, etc. Punitive suspension can be awarded only for the maximum number of days prescribed in the Standing Orders or service regulations, and it is 30 days, if I remember correctly. At times, the number of days spent on suspension pending inquiry can also be ordered by the disciplinary authority in the end to be treated as punitive suspension; however, the subsistence allowance already paid cannot be recovered.
Judicial Perspective on Suspension Practices
Therefore, the suspension of the services of an employee pending inquiry or as a measure of punishment is an important step in the disciplinary process. Keeping the delinquent employee under prolonged suspension without or with a belated inquiry just because they have been paid subsistence allowance, placing an employee on suspension on the very date of their superannuation on flimsy charges, etc., have been regarded as unfair practices on the part of the employer by the higher judiciary in a number of cases. It shall be handled by the employer with utmost care and discretion, failing which it can have a boomeranging effect in judicial review.
From India, Salem
Acknowledge(2)Amend(0)
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Check LisCheck List ofr Disciplinary Proceedings Domestic Enquiry 11 Sep 09.doc
The karnataka payment of subsistence allowance Act, 1988.pdf