Handling Employee Suicide: What Records Should We Keep and How to Proceed?

Dear Sir,

One of our employees committed suicide due to his personal problems after work on the 4th of April at his home. For resigned and absconding employees, we usually maintain records. However, what are the formalities to maintain a record for him? Please guide urgently.

Thank you.

Dear Venkatesh,

The death of the employee brings his contract of employment to an end. Therefore, what you have to do immediately is to settle his terminal benefits. His surviving nominee will have to be paid gratuity and all other statutory dues.

First priority will be to ensure that all his dues are carefully worked out and released to the recorded NOK as per documents.

A cross-check of his work to see any issues or problems would have to be done in-house.

The company should make sure that the case is handled sympathetically, and the NOK should feel that the company is genuinely concerned and helpful in our time of crisis.

Formalities for Handling Employee Death

You will need to complete all closing and release formalities with the necessary changes. If the person was under ESIC, you need to inform them of the suicide. You should also inform the PF department. In the monthly returns, mark the employee as having left the organization and provide the reason as death—there is a specific code for this, which you can check on the website.

You need to conduct a full and final settlement and deposit the money into his account. However, do not pay gratuity into his account. For gratuity, you need to determine who the heir is and give the money to him or her. If in doubt, seek help from the Labor Commissioner, who is the authority under the Gratuity Act.

Regards

If he is covered under ESI, assist the family with funeral expenses. Collect the death certificate from the family at the time of full and final settlement.

Provide separate claim forms for the spouse and children to obtain EPF, dependent pension, and children's pension. Apply in Form 5 IF to claim EDLI dues.

Check if certain ATM cards include insurance coverage.