Relieving an Employee on a Holiday: How to Avoid Salary Loss on Month-End?

Can we relieve someone on the last day of a month, which happens to be an official holiday? What is the best option available? I do not want that person to bear the loss of a day's salary.

Suggestions please.

Prashant

Hi Prashant,

If the last day falls on a holiday, please relieve the person on the preceding day and pay the salary up to the relieved date only. Alternatively, if you need to relieve the person on the day following an official holiday, you should pay one extra day's salary. Therefore, the first option is the recommended approach.

Regards,
Harshad

Yaar, dude, what problem do you have in putting the date as 31 May? You can make the letter dated 1 Jun and put the relieving date as 31 May. This is a simple issue, Prashant sir, and you have such wide experience. If there are no rules, create rules, but don't cause a loss of pay for the employee and receive their curse upon leaving. Instead, receive their blessings, Prashant; it will be beneficial for you.

Even if you put the letter date as May 31st and the relieving date as May 31st, nothing is going to happen. You can give the letter on May 30th. Also, you know you really need to be proactive and intelligent.

I have also made many post-dated letters and given them to people simply based on trust. I have also made predated letters, changed what not! :-D:-D:-D

Relieving has to be only the next day. Imagine if he had taken a leave during his notice period, won't you ask him to work one more day extra and complete the notice period? Similarly, he also can be relieved only after the "complete" number of days mentioned in the notice period is served.

Thanks.

You may relieve the employee on the same day or the very next day, indicating the last working day on the relieving letter. There is no harm, but don't relieve the person on an official holiday as nobody is present on that day to relieve the employee from duties.

Take your safe side and relieve the person happily.

Regards,

Pankaj Chandan

If the last day of relieving or first day of joining happens to be a holiday, we can always add a phrase saying DOR/DOJ as being a holiday, you are relieved a day earlier or requested to join a day later; however, the salary for the holiday shall be paid as per the rules and regulations established by the organization. This will keep up all dates.

All the time, I have been advocating for fixed start and end dates. For example, employees should join only twice a month or be relieved only on one or two specific days of the month. If someone has to be terminated immediately, the company should either exercise restraint or use the option of suspending an employee.

I am sorry, Ravi, but these lines made me laugh and forget all "Stress" ;-) Good sense of humor, Pankaj. :-D

Dear Jalasayanan,

Thanks for suggesting the most appropriate stance in this case. This is what I can call a problem-solving skill!

Regards,
Prashant

Dear Prashanth,

Why do you hurry? It is not a problem. You can relieve him one day before or after and pay according to that.

Regards,
Chandru

Hi,

In my opinion, the person concerned is to be relieved only on the due date. For this, all formalities can be completed, and the relieving order can be handed over to him one day earlier if the last day is an official holiday or a weekly holiday. In such cases, in the relieving order, it can be mentioned clearly as "XYZ shall stand relieved w.e.f. afternoon of the 30th or 31st or as the case may be."

In any case, it would not be advisable to relieve a person on the next working day because in that case, legal complications may arise. Hope this will be acceptable and applicable.

Thanks.

Dear Prashant,

You can release the associate before the day and set the relieving date as the 31st so that the associate will not lose any salary.

Regards,
Meenakshi .B

Dear,

May I have your opinion on what the ideal percentage could be for promotions or special increments in the assessment of the overall workforce? We are discussing only workers.

Regards,
Rajesh Sarao

In the case of monthly-rated salaried employees, a company can rely on the non-working day. There is no harm in that.

The law states that an employee should be given a day off after working for 48 hours (6 days). Hence, would it not be okay to pay the leaving employee for his last working day, which happens to be his day off?

Please comment.

Prashant

Dear Ruchika,

Agreeing with someone's view is fine, but merely mentioning it serves no purpose or adds no value to such discussions.

Prashant, can you please inform me of your actions, as you appear to be quite confused? Just ensure his regular monthly salary is paid as usual, and first, ascertain the company's policies.

Dear Prashant,

For example, a company promises me Rs. 3100 a month, and just because there are 4 Sundays - they can't deduct Rs. 400. The official day - is a holiday they have earned. And - do you calculate - for 31/30 days or 26 days? The latter is correct. My first answer was based on thinking that you meant the last working day was a public holiday. It's ridiculous to hold the salary because it's a Sunday or cut that one day's salary. Anyways, if you have made up your mind not to pay, then I guess it's of no value for anyone suggesting.

Thank you.

But how could you just decide to cut off the pay, Prashant? You need to answer me. How could you cut the pay for the employee? :-x :-x :-x

If the last working day is a company-declared holiday and the employee was not on probation but a permanent employee, he can be relieved one day prior or a day later. However, the salary should include the holiday as well. For example, if the last day of any month falls on a Sunday and someone is relieved on Saturday, their salary should also include Sunday. The same principle applies in the case of a holiday that is a listed holiday of the company. If the employee has given a notice period extending up to the end of the month in written mail or letter, since the last working day in this scenario is the day before the holiday, not the holiday itself.

Seniors, please correct me if I am wrong.