Understanding the Impact: What Happens When an Employee's Increment is Stopped?

Dear Experts, with the below statement, could you please tell me the consequences: "His 3-year annual increment was stopped with immediate effect along with an adverse entry in his character roll."

Thanks in advance.

As per my understanding, the management has decided to stop the next three annual increments of an employee, but I am unable to comprehend the adverse entry in his character roll. Before coming to these conclusions, I believe you have followed all applicable processes (such as a domestic enquiry, etc.), failing which there is every possibility of the employee proceeding legally.

Regards,
Kamesh

Consequences of Stopping Annual Increments

This situation entails the permanent loss of three increments for the employee. The next three scheduled increments will not be received, with the next increment due only in the fourth year. Over the subsequent three years, the employee will receive a salary based on the current pay rate.

Impact of Adverse Entry in Character Roll

The "adverse entry in his character roll" signifies that the employee will not only face the withholding of three increments but will also bear a lasting negative mark. This information is documented in his service book or service record, referred to as the "character roll" within the company.

Regards