How Should HR Handle a Police Complaint Over Withheld Salary After Exit?

I am currently working as an HRBP with a small company.

Employee Exit Without Notice

Recently, an employee quit without submitting a written resignation letter and without serving the notice period. As an HR professional, I need to draft a letter asking her to visit the head office and complete the exit formalities. Could you please assist me with the appropriate format and formal content?

Complaint Filed by Ex-Employee

The ex-employee has filed a complaint with the Mumbai Police alleging harassment by HR, claiming that the company has not released her salary despite her completion of all exit formalities, including submitting a resignation letter and serving the notice period. She is also demanding payment for the period she worked.

Potential Consequences of Withholding Salary

I would like to understand the potential consequences if the company refuses to release her salary in accordance with the terms and conditions outlined in her appointment letter.

In case she has lodged a complaint, the police will come to your office for an inquiry. Show them the facts, the company rules, and explain the relieving process. Also, request them to advise her to complete the required formalities so that you can clear the amount.

You can also ask them to organize a meeting with her in their presence. This way, she can submit all the proofs if she has fulfilled all the formalities, and you can proceed to clear the amount. If not, they can understand who is in the right.

Please note that you can address this challenge once you have clarity; otherwise, it will bounce back. Ultimately, she is supposed to approach the labor department first.

Thanks and regards,
Kamesh

Dear Anonymous Friend,

You say she left without a resignation in writing. However, she claims through a complaint to the police that she left by submitting a resignation letter, serving the notice period as required, and completing exit formalities. Who is right and who is wrong, I fail to understand.

If she left without a resignation in writing, then what action have you taken against her? That is a big question. When she has not tendered a resignation, how did you expect her to visit your head office and complete the exit formalities?

It seems to me that you need to hire an expert to guide you from time to time. The expert will take care of formats and letters.

If it is true that she has left the organization without a resignation letter and completing formalities, write to her about breaching the conditions of the appointment letter. Also, state that her dues will be settled only after complying with the conditions of the appointment letter. If and when the police come for an inquiry, show them her non-compliance and your willingness to pay her dues if she fulfills the conditions of the appointment letter. Her harassment charges are apparently to put pressure on you to release her dues. You don't have to yield to it.

Regards,
Vinayak Nagarkar
HR Consultant.

Whether she fulfilled exit conditions is a matter of documents and records. It can easily be proved or disproved. Have you got a copy of the police complaint?

By and large, this dispute is not a matter of police enquiry. Non-payment of legally due payments will be a violation of the law. The appointment order and its terms for exit need to be followed.