Hi Priyanka,
There will be no legal hassle (under labour laws) if you declare increments in April and payout in October with the knowledge of employees. Labour laws do not stipulate or regulate increments that is solely an employer's prerogative.
It would be advisable to communicate clearly and succintly with employees the change in appraisal period from 6 months to, lately one year and reasons thereof. It would initially be a matter of concern to them, obviously. A bit of personal touch by calling for a town-hall meet to address this issue will be helpful. Alternately, even if respective heads of departments propagate a common message to their respective staff on the change in appraisal period as advised by HR, that'll be good.
For the moment, employees will be happy to know the fact that their six monthly appraisal tenure will be counted and be paid off, retrograde w.e.f 1st April 2009. However, why will this be paid in Oct.'09 will be questioned and should be addressed.
Normally, to make such policy changes, an intimation in advance must be disseminately uniformly to employees by HR, to their reasonable satisfaction; not abruptly or piece-meal.
Be careful on wording the increment letters (any thing that you give in writing duly signed by the management holds legal sanctity). Deferment of increment payable in April 2009 must be accompanied with good reasons, if given in writing to dispel any message of malafide intentions of the management.
It may be safe to actually pin a 'policy supersession/change on Performance Appraisal" on the main (conspicuous) bullettin board for employees to read followed by a communication address as of now and then give them the increment letter later in Sept'09/Oct'09. That should be able to address the matter and also dispel fears of job-cuts or attrition which is likely given the economy meltdown and its fallouts.
Rahul Kumar
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__________________________________________________ _______________________
Hi,
In our organization, there was a system of 6 monthly appraisals. Now we want to move towards yearly appraisals which will happen in September every year. This April since we do not want eligible people to miss out on increments, we will be appraising them and letter of increment will be given to them but actual payout will happen only in September 09 (it will be mentioned in the letter).
My concern is, will there be any legal hassle (under labour laws) if we declare increments in April and payout in October with the knowledge of employees?
Regards,
Priyanka Upasani
9850750998
There will be no legal hassle (under labour laws) if you declare increments in April and payout in October with the knowledge of employees. Labour laws do not stipulate or regulate increments that is solely an employer's prerogative.
It would be advisable to communicate clearly and succintly with employees the change in appraisal period from 6 months to, lately one year and reasons thereof. It would initially be a matter of concern to them, obviously. A bit of personal touch by calling for a town-hall meet to address this issue will be helpful. Alternately, even if respective heads of departments propagate a common message to their respective staff on the change in appraisal period as advised by HR, that'll be good.
For the moment, employees will be happy to know the fact that their six monthly appraisal tenure will be counted and be paid off, retrograde w.e.f 1st April 2009. However, why will this be paid in Oct.'09 will be questioned and should be addressed.
Normally, to make such policy changes, an intimation in advance must be disseminately uniformly to employees by HR, to their reasonable satisfaction; not abruptly or piece-meal.
Be careful on wording the increment letters (any thing that you give in writing duly signed by the management holds legal sanctity). Deferment of increment payable in April 2009 must be accompanied with good reasons, if given in writing to dispel any message of malafide intentions of the management.
It may be safe to actually pin a 'policy supersession/change on Performance Appraisal" on the main (conspicuous) bullettin board for employees to read followed by a communication address as of now and then give them the increment letter later in Sept'09/Oct'09. That should be able to address the matter and also dispel fears of job-cuts or attrition which is likely given the economy meltdown and its fallouts.
Rahul Kumar
[Login to view]
__________________________________________________ _______________________
Hi,
In our organization, there was a system of 6 monthly appraisals. Now we want to move towards yearly appraisals which will happen in September every year. This April since we do not want eligible people to miss out on increments, we will be appraising them and letter of increment will be given to them but actual payout will happen only in September 09 (it will be mentioned in the letter).
My concern is, will there be any legal hassle (under labour laws) if we declare increments in April and payout in October with the knowledge of employees?
Regards,
Priyanka Upasani
9850750998