Employee Final Settlement Dilemma: How to Handle Payments After Termination for Misconduct?

Greetings! I would like to seek suggestions on a possible issue we have encountered in our company. One of the employees was terminated due to serious and offensive conduct issues. The employee's final settlement, including salary and PF, is currently on hold. Can I please request the experts' suggestions on how to resolve this issue?

Thank you.

If an employee has been terminated, you can withhold their salary. However, the Provident Fund (PF) cannot be withheld as it is governed by the Indian government. Please sign the PF form and hand it over to the employee.

Hope this helps.

Even after the retirement benefits have been paid and deposited by the ex-employee, they do not lose their character and hence cannot be attached.

You may find the discussion and judgments attached in the following thread useful: http://www.lawyersclubindia.com/foru...p#.VMXdzNKUcqN

It shall be better if the loan is recovered from the employee by cheque as suggested above or from other payouts or through a recovery suit in accordance with the provisions of the law.

If terminated, the FnF dues and service certificate have to be supplied on the last day in office along with the termination order. Declining to attest PF forms and withholding PF is an offense, and the punishment may involve jail time.

As rightly suggested, don't block and disburse all FnF payouts and supply all documents.

Regards

I would like to get a suggestion on a possible issue we have come across in our company. One of the employees was terminated due to serious and offensive conduct issues. The employee's final settlement is on hold (salary + PF). Can I please get the experts' suggestion to close the issue?

Thank you for the response given towards the above issue.

Handling Sensitive Employee Termination Situations

My question was to know how best the situation can be handled since the issue is sensitive. In line with this, I would also like to know if we can hold back the employee's exit documents and also get a written agreement saying there would be no claims made by the employee over his salary and exit documents, or any alternative suggestion for this.

Thank you.

Regards