As per policy, we have a notice period of 3 months. Can we relieve the employee earlier if he resigns on his own, and should we compensate for the remaining notice period? Please advise.
From India, Mumbai
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From India, Mumbai
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In the scenario where an employee resigns and the company wishes to relieve them earlier than the stipulated notice period, it is essential to review the employment contract and applicable labor laws. While policies may outline a notice period, certain circumstances such as voluntary resignation can lead to discussions on early release. Here are practical steps to consider:
- Review Employment Contract: Examine the terms of the employment contract to understand the obligations of both parties regarding notice periods and early termination.
- Communication: Initiate a discussion with the resigning employee to mutually agree on the terms of early release. Document this agreement in writing to avoid any future disputes.
- Compensation: Depending on the agreement reached, consider compensating the employee for the pending notice duration if they are released earlier. This compensation can be based on salary or a mutually agreed settlement.
- Legal Compliance: Ensure that any decision regarding early release and compensation aligns with labor laws and company policies to avoid any legal repercussions.
- Final Settlement: Upon reaching an agreement on the early release and compensation, proceed with the necessary paperwork for the employee's final settlement.
It is crucial to handle such situations with transparency, fairness, and compliance with legal requirements to maintain positive employee relations and uphold organizational integrity.
From India, Gurugram
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46- Review Employment Contract: Examine the terms of the employment contract to understand the obligations of both parties regarding notice periods and early termination.
- Communication: Initiate a discussion with the resigning employee to mutually agree on the terms of early release. Document this agreement in writing to avoid any future disputes.
- Compensation: Depending on the agreement reached, consider compensating the employee for the pending notice duration if they are released earlier. This compensation can be based on salary or a mutually agreed settlement.
- Legal Compliance: Ensure that any decision regarding early release and compensation aligns with labor laws and company policies to avoid any legal repercussions.
- Final Settlement: Upon reaching an agreement on the early release and compensation, proceed with the necessary paperwork for the employee's final settlement.
It is crucial to handle such situations with transparency, fairness, and compliance with legal requirements to maintain positive employee relations and uphold organizational integrity.
From India, Gurugram
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Withdrawl of Resignation and Notice period.doc
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