How to Handle an Employee Refusing to Sign a Termination Letter During Probation?

Termination Process During Probation

We have terminated an employee during the probation period due to his misbehavior with seniors and the company's Managing Director. For his exit formalities, he is not ready to sign the termination letter and is asking for a relieving letter and an experience letter. Additionally, we have not given him one month's salary as he was in the probation period. One month ago, we extended his probation. We sent him an email for the extension of the probation, but we don't have any physical letter for the same. We have clearly informed him that in case of termination due to a violation of the code of conduct, we cannot provide a relieving letter and an experience letter. However, he is still misbehaving and making threats of legal action. He is refusing to sign the termination letter.

I want to confirm, at the time of termination, if an employee refuses to sign the termination letter provided by the company, what action do we need to take?

Please suggest.

Thanks,
Shiavni

Proof of Misbehavior and Disciplinary Actions

Do you have any proof of misbehavior with the seniors and the Managing Director? Did you receive any written complaints (either signed documents or emails) from those employees? If yes, what disciplinary actions did you take before terminating? If there is any mail correspondence on the termination, that also acts as a valid document.

Issuance of Relieving and Experience Letters

Issuance of relieving and experience letters is part of the company policy if the employee is under probation. If the employee is still asking for those, you can issue them but mention the reason for termination and his behavioral attitude in them, as they will not be useful.

Probationary Order and Termination Protocol

While issuing a Probationary Order, we clearly state that if the performance is not up to the mark or satisfactory to the management, services may be terminated without any notice. If an employee misbehaves with superiors, we aim to change their attitude by issuing a Show Cause Notice or Warning Letter to provide an opportunity for self-correction. Even if the employee does not change their attitude, termination without notice is a possibility.

The decision to provide relieving and service certificates is at the discretion of the management; it cannot be demanded by the employee under allegation.

We hope you now have a clear understanding.

Regards,
PGR
DGM - HR

Termination Letter as a Relieving Letter

A termination letter is actually a relieving letter. Therefore, you do not need to issue a separate relieving letter. Furthermore, the termination letter should also include the details of employment, making it equivalent to an experience letter. His refusal to sign the termination letter makes little difference. In that case, send him a copy by registered post with acknowledgment due.

Termination Process and Legal Considerations

The question is how the termination has taken place and what rules have been followed. If you have terminated him for misconduct, there should be a domestic inquiry, and all relevant rules must be followed. If you have not done that, the employee is eligible for reinstatement by the court.

On the other hand, if you are terminating him on the grounds that he is on probation and that probation is not successful, then it's better not to state misconduct. Under your standing orders or the rules specified in the appointment letter, you will have a clause of termination during probation without notice, and that will suffice. However, you cannot be in both places at the same time.

Legal Advice and Support

Going legal, as they say, is expensive, and most employees find it difficult to take the legal route. In some cases, political parties or unions provide free legal services. However, if they do go, the courts generally rule in their favor. Therefore, it would be a good idea for you to seek the help of an expert or a labor lawyer to ensure you are in the correct position. You can also seek assistance from some of the senior members of this forum on a paid assignment if your management requires it.

Regards