Insights on Payroll Processing, HR Challenges, and Employee Management Strategies

Hi Shilpa,

I wanted to know, what is this 'payroll' exactly?

Thank you.

Hi Shilpa,

Payroll is the salary processing system. Payroll can be seen from two aspects: one is from the HR side and the other from the commercial people's side. HR personnel process the payroll by sending attendance details or, better to say, Leave Without Pay (LWP) details, and other complete information that an employee is going to receive in a particular month. After receiving those details, the commercial team starts entering them into the payroll software, which can be referred to as the beginning of salary processing.

Regards,

Amit Seth
Email: amitmhrm@sify.com

Amit,

As you explained to me, payroll can be used in two terms but... As I heard, it's the term wherein HR will work on the salary of the employees. HR should be specialized in the field of salary.

Am I right? Correct me if I'm wrong or explain to me how to be specialized in this subject :-)

Shilpa.

Hi Shilpa,

While processing salary for a particular month, we, the HR personnel, provide complete LWP (Leave without Pay) details to the commercial department.

When calculating LWP, we prepare the attendance sheet with the weekly offs. In addition to the weekly offs, we check how many days an employee is absent, and out of those days, how many were on leave, which we crosscheck with the leave applications. If an employee has submitted an approved leave application form and has sufficient leave in their account, we mark them on leave.

However, if the person has not submitted the leave application form or does not have any leave balance, then for that particular day, the employee will be considered absent, and we will deduct their salary for that day.

Similarly, if there is a provision to provide one day's extra salary for a specific day if the employee does come, we calculate one day's extra salary for those employees who were present on that day.

I hope this clarifies the process for you. If not, please let me know.

Regards,

Amit Seth

Good morning, Amit.

Thank you very much for the knowledge you have given me about payroll. Is there any software used for this particular process? Please let me know.

ONE MORE PROBLEM: One of the employees is coming late to the office on a daily basis. He does not even bother to inform before deciding not to come to the office. My manager is asking me to issue a letter stating, "If he does not inform or come in time, he will be terminated with one month's notice." Kindly send me the format and the procedure to follow up with such a problem in the company. Let me know what all I need to consider before issuing such a letter or taking such crucial action on an employee. Please help. I need it urgently.

Shilpa.

Hi Shilpa,

Sorry for replying a little bit late. Yes, there are many payroll software options available in the market, mainly based on Visual Basic, Foxpro, MS Access, etc.

To address these kinds of issues, Shilpa, you can prepare an amendment to the existing HR policy. Those arriving late by more than 15 minutes for more than three days will face leave without pay for half a day or a deduction of half a day's salary. I believe this approach will be more effective once implemented.

Regarding the warning letter, have a discussion with the individual and clarify that these penalties will be enforced for lateness. Encourage them to adjust their schedules. Also, try to understand the exact reasons behind the lateness. Our goal is to streamline the system, not complicate it further.

Regards,

Amit Seth.

Hi Amit,

The company I am working with is small, but the work we do is important and significant. However, the HR department is not as strong as others. They perceive HR as receptionists, assistants, or administrators. Whenever I take initiative for employee-related matters to the top-level management, they tend to ignore it and say they will address it later.

There has been a significant increase in attrition, with nearly 6 employees leaving the company in the past 2 months. These employees were highly proficient and talented. The lack of respect and inadequate policies have contributed to this situation. I will try to make decisions as you suggested earlier regarding attendance.

Attendance has been an issue, with employees not bothering to arrive early at the office. I am unsure how to address this effectively. If you have any sample letters for such situations, please send them to me urgently.

Hey Amit, thank you very much for helping me understand the payroll system.

Regards,
Shilpa

Hi Shilpa,

Welcome yours all mine pleasures.

Hahhahahaa.. seems this is your 1st Job, am i right? Ok no problem whatever they think about HR but you have a good platform to learn the things. You just try to implement the things with the help of employees, for this have word with employees.. let them understand you are doing all these things for their betterment. If they will learn the things and they will coperate you in implementation then definitely your Management will also accept the things and will definitely appreciate your work.

BTW find below the format of the same as you require.

Sub. – Warning Letter

Mr.

It has been observed that you use to report office late without prior permission of the concerned authorities, resulting in willful insubordination and gross negligence of duties, in your capacity as _______(Designation).



Coming late to the office without prior intimation is a misconduct for which you are making yourself liable for necessary action.

You are hereby warned to refrain from such activities; failure to do so shall invoke appropriate action may be termination of your services too.

You are further advised to submit a written explanation on your unauthorized coming late to the office as soon as you receive this letter.

Kindly treat this as very urgent.

Kindly submit the duly signed duplicate copy of the same.

For, _________

Name:

Designation: Employee Name

Shilpa make it print in duplex. And receieve one of the copy along with his signature.

Hope it will be fine with you. Keep in touch.

B'byee

Regards,

Amit Seth.

Good morning Amit,

Thanks, buddy. This is not a new job for me. This is my 2nd job in 3 years, and I joined this company just 5 months ago. My previous company was so professional compared to this company's policy (I should say there is no policy at all in the company), which is becoming more irritating day by day. They just focus on impressing others, dressing well, and talking attractively. I believe you understand what I mean.

Even here, all employees seem frustrated; no one comes to the office wholeheartedly. They just show up not to leave empty-handed at the end of the month. While the pay is good, there is also politics involved. I know politics exist everywhere, but knowing how to handle it is a significant challenge.

Hey, it's really nice talking to you, and thanks for sharing your knowledge with me. I have a lot of problems, and I believe you will help me in every way. Thanks for the format too.

Shilpa :-)

Hi Shilpa,

It's good to hear about the problems or situations that you are facing in your current organization. Well, now I should say sorry to hear that you are a fresher. 😊 Yes, it is very much true that internal politics exist among employees everywhere.

Anyways, I hope you are quite able to handle the problems. Wish you all the best. Keep in touch.

Bye,
Tcccc
Amit Seth
Email: amitmhrm@sify.com

Hi Shilpa,

Good evening. How are you? It seems a little bit busy with work. By the way, what's new going on?

Regards,
Amit Seth.

Hi Waqar,

As discussed earlier, the Payroll process has two steps and is mainly concerned with salary generation. The first step is taken care of by the HR side where they provide the LWP details to the commercial department, and then they prepare the salary based on this information.

Regards,

Amit Seth

Hi Amit,

Could you please provide me with the company name and industry type? I need this information to prepare a presentation for my senior management.

Regards,
Waqar

Hi Waqar,

Presently, it is not being applied in the industry where I am working as it's a newly set up organization. I have seen it in the previous organization, and that was Pantaloon.

Regards,
Amit Seth

Hi Amit,

A very good morning. I was on leave for almost a week as I had viral fever. So, what's up there? Keep in touch.

Shilpa.

Hi Shilpa,

So, how are you now? Are you feeling better?

Nothing new is going on over here. In your absence, I have been involved in solving queries for some more professionals on the same topic.

Keep in touch.

Regards,

Amit Seth

Hi Amit,

I hope you are well.

I have some problems regarding managing people. It's becoming a bit difficult for me to understand them as they don't behave like normal human beings. They don't know anything but can't stop scolding others for not knowing what they know. I think you got my point. If not, let me know.

It's even difficult for me to remember everything at once. I don't know whether it's my memory problem, their nature is like that, or they are perfect and the rest of us are not. This is not only happening with me, but others are facing the same issue as well.

I also struggle to respond when they are wrong. Why am I unable to do so? Why can't we tell them that they are wrong?

Shilpa.

Hi Amit, hope you are well.

I have some problems regarding managing people. It's becoming a bit difficult for me to understand them as they don't behave like normal human beings. They don't know much but can't stop scolding others for not knowing what they do. I think you get my point. If not, let me know.

It's also a bit challenging for me to remember everything at once. I don't know if it's a memory problem on my end, their nature is like that, or they consider themselves perfect while the rest of us are not. This issue is not only happening with me but with others as well.

I find it hard to respond to them when they are wrong. Why am I unable to do so? Why can't we tell them that they are wrong? It is crucial for me to keep myself safe.

Shilpa.

Hi Shilpa,

It seems you are overloaded with work pressure or dealing with a challenging work environment.

It appears that there are individuals who are attempting to disrupt the working environment. Additionally, HR is often the most disliked department in the organization. Many colleagues and senior members of other departments harbor negative feelings towards HR personnel.

Nevertheless, you also serve as a supportive friend to junior-level employees.

It is our responsibility to handle such situations calmly. If someone tries to undermine you, stay confident and address the issue. Remaining silent the first time may encourage them to persist in creating problems. Therefore, it is advisable to resolve any issues promptly.

To aid in memory retention, consider maintaining a daily work log in a notebook. This practice can enhance your work efficiency.

Remember, feeling overwhelmed is not due to a lack of memory or other personal shortcomings but rather a result of excessive work pressure. Stay calm, confident, and find enjoyment in your work without becoming stressed about it.

I hope you can effectively manage these challenges.

Regards,

Amit Seth.

Hi Amit,

how are you? i am fine.

i posted 2 topics today. i am in bad condition. dont know how to solve this.

see in my company they dont give any relieving letter to the employees who are leaving the organisation. regarding this i sent a query "How important Relieving letter is? in HRM forum. and also posted requesting for the format for "Consultancy/Consultant agreement for our coaches" in legal forum.

and also,

kindly let me know whether this procedure is correct or not?

1.receive the resume from the new entrant or anyone who recruited him/her

2.Sending him/her the employee personal details form (EPD form)

3.They have to fill in the EPD form which is mandatory

4.send the offer letter to the new entrant according to the employee details she/he has given

5.should receive the offer letter duly signed by the new entrants

6.Along with the offer letter they have to send their previous company’s relieving letter, resignation letter and his/her degree certificate

7.After they joining us we will be sending them appointment letter which we should receive it duly signed by them in one or two days

let me know is this flow is correct or not. if you can modify it i dont mind.

reply me with good solution (as you are solution provider) for all three ?s

Cheers,

Shilpa.

Hi Amit,

how you are doing well.

actually this is to iformk you that i have posted 2 topics "How important relieving letter is" in HRM forum and Consultancy/consultant agreement for mat" in legal forum. if you can help me in this regard then that would be really great.

also let me know whether this procedure is ok to not? if not kindly modify it and send it to me.

1. should receive the resume from the new entrant or anyone who recruited him/her

2.sending him/her the employee personal details form (EPD form)

3.They have to fill in the EPD form which is mandatory

4.send the offer letter to the new entrant according to the employee details she/he has given

5.should receive the offer letter duly signed by the new entrants

6.Along with the offer letter they have to send their previous company’s relieving letter, resignation letter and his/her degree certificate

7.After they joining us we will be sending them appointment letter which we should receive it duly signed by them in one or two days

i have to send this to branch head who do not follow anything. they just talk to the candidates and ask them to join. when i tell them to follow small steps they just avoid it.

becauase of their lack in knowledge in this regard we lost almost 8 employees to whom we have not issued appointment letter.

cheers,

shilpa.

Hi Shilpa,

Yes, I am doing well and nowadays on leave, enjoying at home.

Okay, see, these days Relieving Letters are very important as every company asks for the same. Otherwise, it may happen that after some working period, your previous company may claim that they have not yet relieved the person. So, because of this, every HR person asks for a relieving letter. Even from the company's point of view, it's important as one may not claim that he/she is still an employee.

Regarding the order, it's the correct order.

Regards,
Amit Seth

Hi Shipa,

You are most welcome, dear. Nothing much, just enjoying my holidays along with family. Enclosed, please find one of the sample formats of an Exit Interview. I hope it will help you in framing the same at your end.

Wishing you a Happy Holi in Advance.

Regards,
Amit Seth

Thank you very much, Amit. I will surely make use of this format. Thank you very much for wishing me on the Holi festival. Wish you the same. Enjoy with your family.

Cheers,
Shilpa