Navigating Dual Employment Concerns: Should My Friend Inform His New Employer?

Hi All, I'm writing this on behalf of my friend. He recently switched from one MNC to another in India as a full-time employee. In his previous company, he submitted his resignation two months prior and served the complete two-month notice period. On the release date, he handed over his ID, pass, etc., to the old company's HR. At that time, a scrutiny process began, but HR did not provide any release letter. Instead, they asked him to postpone joining by a week. My friend waited for a week, but no result came out. So, he joined the new company by showing the resignation acceptance letter from the old company's HR. The new company's HR instructed him to submit the release letter whenever he received it. A month passed, and my friend settled in the new company. Then, a month later, the old company's HR called him, informed him that the scrutiny was completed, and asked him to collect the release letter. However, they mentioned they could not provide a post-dated release letter (matching the date in the original resignation letter from my friend). This situation has put my friend in a difficult position as he may be considered for dual employment for a month. Isn't that so? We are uncertain about HR laws and regulations. Can any of you experts guide us on how to proceed? Should he confess this to his new employer? Doing so might risk his new job, right? Kindly assist. Thank you all in advance.

It appears that you and your friend have gotten confused unnecessarily. The date on which the relieving letter has been signed has nothing to do with the dates of employment mentioned in the letter.

Suppose your friend worked in the previous company from 1st Jan 2012 to 31st Dec 2015. Now, if the dates are mentioned correctly but the date of the relieving letter is 1st Feb 2016, then it cannot be dual employment.

If your friend did not work in the previous company from 1st Jan 2016 to 31st Jan 2016, then how and why would HR show that he was employed in that company?

Therefore, please clarify what would be the verbatim of the relieving letter and then come back again.

Thanks,

Dinesh Divekar

Thank you for your response. I think what I meant was not the date of issuing the release letter.

What I mean is that, for example, my friend worked in an old company (let's call it "A") from 1st January 2010 to 19th September 2015. On 19th July 2015, he submitted a resignation letter with a two-month notice period. After completing the notice period, he returned all IDs, passes, etc., to Company A on 19th September 2015. However, due to some scrutiny, Company A's HR did not provide the release letter at that time.

He waited for a week and then joined a new company (let's call it "B") on 29th September 2015, using his resignation acceptance letter from Company A's HR.

A month later, Company A's HR called him to collect his release letter, which had a release date of 19th October 2015. The HR was not ready to release him on 19th September 2015, as mentioned in his resignation letter.

So, during the period from 20th September 2015 to 19th October 2015, my friend was technically an employee of both Company A and B, even though he had returned all belongings to Company A on 19th September.

The question is, what should be the ideal way for my friend to proceed in this unintended situation? What will happen if the new company, B, discovers this when he shows his release letter?

Kindly advise.

If the ex-company's HR is mentioning an extra month in the release letter even though the employee did not work in the company, then that is the height of absurdity. I recommend that your friend should request an interview with the MD of that company to resolve the matter.

Another option is for your friend to politely suggest that the HR personnel come to this forum and seek clarification on whether their actions are appropriate. Your friend can inform them that there are HR experts in this forum, and seeking advice from experienced professionals is not demeaning.

Thanks,

Dinesh Divekar

Thank you for your response again. As you know, the ex-employer's HR was not listening to any point of my poor friend. What can he do further? Should he discuss this with his new employer's HR? Can they fire him due to this reason, purely manipulated by his ex-company? Should he disclose the truth to his new employer to avoid any issues? Could you please provide options and the pros and cons for each of those options?

He is completely clueless and desperately needs your expert advice to keep his career clean.

Thank you,
Sumit

One solution is given in the above post, and that is to seek the appointment of the Managing Director (MD) of his ex-company and explain his problem. Let us see whether the MD can instill some sense in the head of his HR professional. There are morons in every profession, and HR is no exception.

Secondly, tell your friend to talk to the current HR and explain the problem. Persuade your friend to convince the current HR to communicate with the ex-HR. If the current HR is unwilling to get involved in this matter, then advise your friend to approach the Labor Office of the area where his company is located. Explain the problem to the Labor Officer (LO). A single call from the LO should rectify the situation with the ex-HR.

Thanks,

Dinesh Divekar

HR's Role in Employee Release and Backdated Entries

I have checked with my friend. Now, his HR is saying that she cannot do any kind of backdated entry in the system for releasing him. HR is explaining that, as the scrutiny was ongoing, he was not released from the system earlier based on his resignation date. She also mentioned that she was not aware that my friend was joining a new company.

The question is, is the HR from the ex-company supposed to know the employee's whereabouts after he has resigned? Another question is, in the People Management system, can HR put a backdated release date? Is there any option for that? Kindly guide with your expertise in People Management Systems.

Thank you in advance.

The ex-HR of your friend's company has done a half job. This headache is the result of this incomplete task. Upon receiving the employee's resignation letter, the entry she makes in the HRIS or HRMS is an internal matter of the HR department. The resigning employee has nothing to do with it. Your friend had resigned, the resignation letter was accepted, the identity card was returned, he was told to wait for a week, and he waited as instructed. However, why was there no communication from HR indicating that he was still on the company's rolls? Moreover, if some matter was under scrutiny, why didn't she send a letter stating that your friend's resignation was put on hold?

The ex-HR not knowing that your friend would join another company is a weak argument. Why do people resign? Obviously, to move on to the next opportunity and not to stay idle at home! Nevertheless, your friend could have also communicated his intention to join the new company to the ex-HR. There is partial responsibility on his side as well. However, I hold HR more accountable than your friend in this situation.

As mentioned in my previous post, advise your friend to write a letter to the MD of the company to address this issue. Alternatively, the option of seeking assistance from the Labour Office is always available.

Thanks,

Dinesh Divekar

This resembles a lack of HR ownership in closing the issue on time. HR in MNCs is not proactive in closing the issues on time, and this is the reason for this mess.

Can you clarify these queries, please?

1. Did he submit any handing over letter, duly acknowledged by Company 'A' when he physically left?

2. Did he mark present or log in to Company 'A' after he actually left?

3. What is the date mentioned in the 'Resignation accepted' remark on your friend's resignation letter? Is there any other remark on the resignation letter (what exactly did HR endorse in the resignation letter)?

4. What is the period/date of completion of the notice period as per the terms and conditions of the employment?

5. Was any payment of salary or any other perks received pertaining to the period from the 'resignation accepted date' to the 'date of relieving'?

6. What if the relieving letter is not produced to the new employer? Has he discussed this matter with anyone in the new company?

7. Are all these dates you mentioned just for examples or actual dates? Can't you indicate all these actual dates here?

8. I believe he should have drawn a salary for the period 'in dispute' regarding relieving days in the new company, presumably after completion of the notice period. Is that right?

Please answer these questions with actual information so that we can consider our options.

Regards

Reading through the question and answer on Dinesh's friend's case and worrying about dual employment, I do have some doubts in mind.

Practically, was the friend being paid and acknowledged for receiving the payment? If the ex-company cannot prove that the friend was paid during that month, then was it an employment?

Dear Sumit, we feel there is no harm as your friend cannot disclose all the facts to the new company's HR and his present manager. We are not fully aware of what needs to be done in such circumstances. In fact, there could be another solution: if the HR or management of the old company can be requested to categorize this period as a "scrutiny period" where the employee was not physically on their roll.

Senior contributing members are requested to offer their views as well.

Regards, Optimus Consultants

Understanding Resignation and Dual Employment Concerns

There are a few pertinent questions to be answered. Mere "resignation accepted" does not automatically mean relieved. What is important to note is the "last working day" after the completion of the relevant notice period, unless otherwise waived or shortened, or the actual date of separation as per the roll. Until such time, an employee will be considered as on the roll and therefore would be entitled to a salary if not marked absent.

In the absence of relevant details, it is difficult to draw conclusions and to suggest meaningfully. The onus on whether or not any dual employment exists would depend on answers to these questions.

Hi,

Please ask your friend in the HR department to issue a letter with the latest date, including details of the employment period in the body of the letter. By doing this, the period mentioned will automatically indicate the last working day of his employment.

In this case, the purposes of both parties will be served.

Thanks,
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