Relieving Letters: Why Are They Important for Employees and New Employers?

Relieving Letters: Seeking Insights

I would be grateful for your thoughts and inputs on the subject of relieving letters. In particular:

- What is the benefit of such a letter to the company whose employee has resigned?
- What is the value of such a letter to the company that wishes to engage?

I ask this because the site is full of companies not issuing relieving letters.

Warm Regards,
Harsh

Very good questions, but could you please let us know what a Relieving Letter means to you in your understanding? It would be a nice idea to share your perspective with us first, I believe, so that other members can also exchange knowledge easily.

My understanding is that where the employer acknowledges that the employee is relieved of their duties, the employee is free to seek or commence other employment without hindrance. I raise this question, in particular, to address a situation where the employee has already resigned and left (as opposed to resigned but still within the notice period).

Regards,
Harsh

Thanks for sharing yourself. Exactly. "Where the employer acknowledges that the employee is relieved" or is not an employee of them with an effective date and free for other employments. (A relieving letter is important for both Employee and Employer.)

Importance of Relieving Letters

In other words, for the Employer, a relieving letter is proof of separation and that they have relieved the employee from services completely and are not liable to pay any more in any regard. It also serves as the acknowledgment of the employee for them with that special purpose for their future reference.

And for the Employee, as you shared above, it is also proof of separation that they have worked with an organization for a period and are now free to seek other employment.

Notice Period and Relieving Letters

To address the situation where an employee who has already resigned but is still under the notice period, they will still be an employee and deserve the salary for that period until the last day of the notice period. Therefore, they can't be offered an experience/relieving letter. It is also self-explanatory "Relieving Letter" and can only be issued after getting "Exit Clearance" done.

Value of Relieving Letters for Future Employers

Regarding the second question and the value of it for future employers and companies, and why they require it from candidates (Future Employees), it is to verify whether they are relieved from their past employer or not, or to prevent unwanted future threats such as dual employment problems.

Hope you got the answer to your first questions in detail.

Also, I would like to know about your above statement, please clarify this.

Thank you for your comprehensive answer. Regarding the statement you refer to, I am shocked to read about the number of members who have waited for weeks and even months before getting relieving letters, and some if at all! By delaying the issue of these letters, people cannot get jobs and move on; this is an unnecessary hindrance. Surely, it is more important to establish experience and qualifications, which can be done at various interview levels. I accept that there may be valid delays for some people, but where the delay is down to sheer (in my opinion) neglect of duty, it is always the employee who seems to suffer. Incidentally, I write this post from the view of a recruitment consultant.

Once again, thank you.

Regards, Harsh