Is It Okay to Inform Dealers About an Employee's Departure Without Formal Letters?

Can the company issue a circular to dealers and all field staff stating that "Mr. X is no longer in service and advise them not to contact on behalf of the company"? Is it okay to do this without giving a resignation and termination letter?

It is okay for the company because if your dealers continue to deal with the impression that you are within the organization but later ask the company to compensate for any loss, the company will be in trouble. Therefore, in order to avoid such an unpleasant situation in the future, companies do send such circulars, especially when the person who left was holding a position involving financial dealings.

Regards,
Madhu.T.K

Yes, TK Madhu, I agree with your concern about involving the company in this matter. I have another question: Is it helpful to any employee? Specifically, in the case of a manager, how should a manager interact with our field staff and where should they go to conduct business? Could taking this action potentially damage an individual's reputation in the market? Please suggest.

He has not left. The company is asking him to resign immediately after 4 years of service. During his tenure, he was awarded a gold medal. Just 4 months ago, he was promoted.

With reference to your post, what I can suggest is issuing a circular or letter to all the dealers informing them that the concerned Manager has resigned from the job and moved on. Draft the letter in a positive manner to convey that the manager is no longer working with the company to avoid any miscommunication. Additionally, in the same communication, include the contact details of the replacement person for the vacated position or a temporary contact person until further information is provided.

Sample Communication to Dealers

Dear Dealers,

Please be informed that Mr. XYZ has resigned from the position of Manager. However, we will continue to uphold our business relationship as usual. Kindly note the contact details of Mr. ABC, who will be taking over or overseeing your account from now on. Please feel free to address any concerns regarding business transactions. We look forward to continuing our partnership.

Mr. ABC - Job Title
Email: [Email Removed For Privacy Reasons]
Mobile: [Phone Number Removed For Privacy Reasons]

I recommend not mentioning anything about the termination of the employee. Even if the employee has been terminated, let that information remain within the boardroom walls.

Informing Field Staff

Regarding informing field staff, you can convey the message through a standard memo or mailers sent to the relevant field staffers, informing them that Mr. XYZ is no longer with the company and providing the contact details of the person assuming the role.

Hope this guidance helps.
Regards

Company's Right to Divest Portfolio

The company has every right to divest the portfolio that he or she was handling, regardless of their continuation or imminent termination.