Last Working Day Salary: Do Weekends Count in the Notice Period Pay?

If an employee resigns and serves a one-month notice period as per the terms and conditions of service, but their Last Working Day (LWD) happens to be a Friday, are Saturday and Sunday (the end of the one-month notice period) included in computing the salary? Or is the salary calculated until Friday, technically the last working day?

Hi, If the employee's last working day falls on a Friday, the salary should be processed only until the last working day. There is no need to process the salary for Saturday or Sunday when the employee is no longer part of the company.

Thank you for your response.

Notice period and last working day

What if the notice period is for one month or 30 days, and the Friday (last working day) falls on the 28th day? The 30th day is actually a Sunday, but since the employee is not coming to work, technically, the last working day is the Friday.

Hi, If the LWD falls on a weekend, the employer, at their discretion, can either keep the relieving date on Friday or Monday based on work requirements. However, most employers tend to relieve employees on Friday. In such a scenario, the salary should be paid only till the last working day (Friday).

Hello, If an employee's last working day falls on a Friday, the salary should be processed up to the Last Working Day (LWD), which is Friday. Please note that there are no rules or regulations to process salary for Saturday, Sunday, or any other holiday. You must calculate their salary up to their last working day.

It's a common occurrence for employees to join and leave an organization. To illustrate, let's consider both scenarios for better comprehension:

For Joining - You offer an employee a position to start on the 1st of May. After issuing the offer letter, both you and the employee realize that the 1st of May is a holiday. Consequently, the employee starts on the 2nd of May. In this case, the salary calculation would begin from the 2nd of May.

For Separation - When an employee resigns and serves a notice period, if their last working day falls just before a holiday or a scheduled day off, the treatment varies. If the employee works beyond the holiday or off day, those days are considered for salary computation. However, if the employee's last working day is before any holiday or day off, the payment is processed only until the last working day.

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