How to Legally Handle Full and Final Settlement for an Employee Misusing Resources?

Dear Seniors, please provide guidance on the legal aspects of implementing a full and final settlement for an employee who has been found to be misusing company resources against company policy. I am looking forward to your response.

Thanks and regards,
Pramod

In the case of gratuity, you can only forfeit it for proven misconduct of riotous behavior or moral turpitude, for which a show cause is required before forfeiture. Has the misconduct been proven in a properly conducted inquiry? Additionally, the bonus also cannot be attached.

Thank you.

Thank you for your quick reply. Can we hold this FFS until the issue is resolved? If yes, what would be the further steps to take?

Regards,
Pramod

Dear Seniors, please confirm if there are any legal obligations for the termination of an Executive employee.

Regards,
Mukti

Dear Mr. Pramod,

You may choose not to accept his resignation and not relieve him until the issue is resolved. Gratuity is payable upon separation only, and other dues are also payable upon separation. Please initiate disciplinary action if he is a workman. Anyway, what are your FFS components?

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Regards,
Pramod

Dear Sir, Employee already quit from the organization. After his leaving, we have been receiving negative feedback from clients that he has misused things, and he was in the system for only 3 months. Please suggest if we can hold his FFS. If yes, what are the further steps to be taken?

Thanks & regards,
Pramod

You can withhold the final settlement from him. You can also file a police case against him with evidence.

Regards,
D. Gurumurthy
LL. HR & IR Consultant

Dear Mr. Pramod,

Final Settlement Components

What components are included in his final settlement? You can hold his last salary, leave payment, and incentives. Additionally, you can consider filing a police complaint for the fraud he committed.

Regards,
[Name]

My question is from an employee's point of view: what legal action can an employee take if the employer refuses to pay the last salary of an employee after terminating the service (without any notice on a performance basis)?

Thank you,
AK