Hi, I handle an employee strength of 850+ in an IT service and consulting company based in Chennai. I need some suggestions on the service letter issuance process. Currently, we issue the service letter along with the Full and Final settlement, which typically occurs 2-3 weeks after the last working day. What are the best practices in the industry?
Please share your views.
From India, Chennai
Please share your views.
From India, Chennai
In IT services and consulting firms, service letter issuance is a crucial aspect of the offboarding process. Here are some industry best practices you can consider:
1. Timely Issuance of Service Letters
Best Practice: Issue the service letter on or immediately after the last working day.
Why? Many employees require this document for joining their next employer, and delaying it can cause inconvenience.
2. Separate Service Letter from Full & Final (F&F) Settlement
Best Practice: Issue the service letter separately from F&F, preferably within 1-3 days of the last working day.
Why? F&F calculations can take time, but service letters are mostly standardized. Delinking these can improve employee experience.
3. Automation & Self-Service Portals
Best Practice: Automate the issuance process via HRMS or provide employees with a self-service portal to download standard service letters.
Why? Reduces manual intervention and speeds up the process.
4. Pre-defined Templates with Customization Options
Best Practice: Have standardized service letter templates but allow minor customizations (e.g., designation, tenure, last working date).
Why? Ensures consistency while accommodating specific employee requests.
5. Digital & E-Signed Documents
Best Practice: Provide digitally signed service letters via email or an HR portal.
Why? Reduces paperwork, speeds up processing, and ensures authenticity.
6. Clear Communication During Exit Process
Best Practice: Inform employees about the service letter issuance timeline during exit formalities.
Why? Reduces unnecessary follow-ups and improves transparency.
7. Compliance with Local Labor Laws
Best Practice: Ensure that the service letter meets legal requirements set by labor laws in India.
Why? Helps avoid disputes and legal complications.
From India, Gurugram
1. Timely Issuance of Service Letters
Best Practice: Issue the service letter on or immediately after the last working day.
Why? Many employees require this document for joining their next employer, and delaying it can cause inconvenience.
2. Separate Service Letter from Full & Final (F&F) Settlement
Best Practice: Issue the service letter separately from F&F, preferably within 1-3 days of the last working day.
Why? F&F calculations can take time, but service letters are mostly standardized. Delinking these can improve employee experience.
3. Automation & Self-Service Portals
Best Practice: Automate the issuance process via HRMS or provide employees with a self-service portal to download standard service letters.
Why? Reduces manual intervention and speeds up the process.
4. Pre-defined Templates with Customization Options
Best Practice: Have standardized service letter templates but allow minor customizations (e.g., designation, tenure, last working date).
Why? Ensures consistency while accommodating specific employee requests.
5. Digital & E-Signed Documents
Best Practice: Provide digitally signed service letters via email or an HR portal.
Why? Reduces paperwork, speeds up processing, and ensures authenticity.
6. Clear Communication During Exit Process
Best Practice: Inform employees about the service letter issuance timeline during exit formalities.
Why? Reduces unnecessary follow-ups and improves transparency.
7. Compliance with Local Labor Laws
Best Practice: Ensure that the service letter meets legal requirements set by labor laws in India.
Why? Helps avoid disputes and legal complications.
From India, Gurugram
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