Is It Legal to Issue Backdated Appointment Letters? Seeking Guidance from Experienced HR Professionals

Respected Seniors, I am a little bit confused regarding issuing backdated appointment letters to our employees. Is it legal? Please suggest.

Generally, no organization prefers to issue appointment letters with a back date. Why? Because it may lead to complications in case of an accident or the death of an employee. It can also become difficult to terminate or discharge an employee whom you have taken into service without providing them with an appointment letter with a prospective date. However, the employee can be taken on the basis of an offer letter with a provision to issue them an appointment letter upon their joining duty as per the terms and conditions of such offer letter.

In such a case, the appointment letter could be issued by mentioning the date of their joining into the service of the organization but not before the said date.

Regards,
N.V. Rao Naidupeta

Yes, you can—you have to because there won't be any other alternative. Companies will operate without HR for 2 to 3 years, and they feel that one Production Manager and Finance Manager are more than enough to run a company. After 3 years, the employee-related problems escalate because there is no people orientation, welfare, proper statutory compliance, etc. Subsequently, with a lot of dissatisfaction, employees resort to collective bargaining, etc. The real challenge begins at this point—employees raise disputes, the labor department inspects and requests all sorts of records, appointment letters, documents, confirmation letters, etc. The organization then has to issue the appointment/confirmation letters with retrospective dates.

If the HR joins after 3 years, even then the HR head wants to keep everything in order. They start with job applications, testimonials, nominations, etc., and then issue the appointment letters with retrospective effect.

Regards,
Kamesh

Elaborating on Mr. Rao's reply, an appointment letter can be issued bearing the date on which it is issued (current date) but stating that "Mr. X has been appointed in the service of the company with effect from (cite the back date)" provided he has been in the service of the company since that date (back date). Such an appointment letter may not pose any problem with reference to time. Do not give backdated appointments for the period an employee was not in the service of your company, as it may create an embarrassing situation for you later, which might be unexpected now.

Regards,
B. Saikumar
HR & Labour Law Advisor
Mumbai

Any backdated documents may land you in trouble, not to mention the appointment letter alone.

Pon

The appointment letter date will be the same as the issue of the appointment letter (preparation date). However, the appointment date can be backdated, with the condition that the backdate for 1 year or 2 years is given only to calculate the service seniority of the individual employee.

The appointment can be implied or expressed. Implied means joining in duty, working with an understanding, and it will continue. It is valid in law. Expressed means receiving an appointment order and working. It is a clear position. Giving a backdated appointment order for the work period is valid.

Regards,
D. Gurumurthy
HR/IR Consultant

Hi, I do agree with Mr. NV Rao, Mr. Kamesh, Mr. Saikumar, and Mr. Jairamsingh. Good suggestion and a guideline for HR professionals in this regard.

Mr. D. Gurumurthy is quite right in his observation. It is legal.

Regards,
Col. Suresh Rathi

This problem is found in many small-scale and medium-scale companies. Many companies do not issue appointment letters to employees, even though the employee has worked for the last 5 years, 8 years, 2 years, etc. New HR personnel come and arrange all the documents of employees; however, many companies do not maintain personal record files of employees. It is ridiculous. Therefore, I think this kind of issue may arise.

Regards,
Tejas

Issuing Backdated Appointment Letters

Issuing backdated appointment letters should not be a problem, but it is essential to ensure that the employee has actually worked in the organization from the same date. Supported documents such as card punching records, attendance registers, any legal deductions, salary disbursement records, etc., are also required to verify the appointment letter. Incorrect dates need to be handled strictly to avoid potential legal issues.

Regards,
Arun Chakravarty

Understanding Appointment Letters and Joining Dates

Many companies issue appointment letters after 1-2 months, but the appointment letter often contains the date of joining as the same date as the appointment letter. This is a common procedure and should not be a cause for concern. Individuals with extensive experience typically understand this point.

[QUOTE=dam4444;1819473]Respected Seniors,

I am a little bit confused regarding issuing backdated appointment letters to our employees. Is it legal? Please suggest.

Current Date on Appointment Letters

An appointment letter must bear the current date, as the seniors have rightly advised you to provide accurate and up-to-date information.

As an HR Professional, I am currently facing the challenge of issuing appointment letters/Letter of Communication to employees aged 10-20 years. Can anyone share with me a draft copy of such an appointment letter? It's quite urgent.

My Email Id: [Email Removed For Privacy Reasons]

Thanking you in anticipation.

Regards,
Arundathy Krishnan.

Hi Everyone,

I have a similar doubt. At the time of the establishment of my current company, many employees were hired without an offer letter. Now, I have to prepare the entire document file of all the employees for the audit next month. Can we release backdated offer letters for such employees? If not, is there any other solution for this audit purpose?

Thank you.