Hello,
In my Opinion:
You are looking for a way of Retrenchment of Employees. (As termination has to be backed by a misconduct )
There are two categories of employee here.
1. Wokrman under IDA 1947
2. Non - Workman (Managerial) Cadre
For Retrenchment of Workman the compensation and procedure according to IDA 1947 Sec 25 have to be followed if your company is an Industrial Establishment.
Generally he will be entitled for Gratuity (if applicable), Leave with Wages, Leave Balance, Unpaid salary for the period, Notice pay (if applicable), etc. and compensation of 15 days avg pay for every year that he has worked in your company
2. Non-Workman : He may be dismissed by the company by giving due notice. He will be entitled for Gratuity (if applicable), Leave Balance, Unpaid salary for the period, Notice pay (if applicable), etc. and any other form of pay/allowances that your company provides but has not paid for.
Important: Please note NOT to terminate/dismiss an employee during the current Lockdown period, as it will open up the company for Litigation under the Disaster Management Act 2005 and IDA 1947. You will have to continue the employee with his full salary payment during this period.
Regards,