Can We Terminate an Employee After Resignation Due to Client Issues? Let's Discuss!

Can we terminate an employee post-resignation due to client escalation?

Certainly, it is possible to terminate an employee even after they have resigned, especially if there are serious issues like client escalation involved. However, it is essential to follow proper procedures and ensure that the termination is justified and documented appropriately. It is recommended to consult with HR and legal experts to handle such situations effectively.

Dear Smitha,

You can terminate the employee provided the employee has committed misconduct. Before termination, please order a domestic enquiry and let the culpability of the employee be established. Depending on the gravity of the misconduct, a suitable punishment can be awarded. To avoid prejudice while conducting the enquiry, advise the Enquiry Officer to focus the enquiry on what happened and not on the persons involved.

Yes, you can order a domestic enquiry even when the employee is serving the notice period after his or her resignation. The punishments are awarded to foster a culture of discipline, and the notice period served by the employee cannot come in the way of the administrative procedures.

The above two paragraphs are written without taking into account the practical considerations. Coming to the case at hand, let me ask you: what is the notice period of the employee, what portion of it the employee has served, and what portion is left over? Has the administration of the company or the client developed such a strong distaste towards the employee that they do not wish to see the employee on board even for a few more weeks? Can the employee not be given any alternate work?

As a via media, I recommend issuing a show-cause notice to the employee. Upon receipt of it, the administration may curtail the employee's notice period, not by way of termination but by asking the employee to submit an application to relieve him or her with immediate effect. By doing so, you will be able to give a semblance of normalcy and avoid bitterness during the separation.

Thanks,

Dinesh Divekar

Dear Divakar, Thanks for sharing the insight.

To brief about this case, an employee has taken knowledge transfer (KT) for 2 months from a female employee due to her maternity leave. Based on this situation, we have requested the client to provide access for the employee, and we were following up with the client rigorously on this. The day we received the client access, the employee wants to leave the job for some personal reason. HR tried to convince and provided retention options like work from home (WFH), leave, flexibility, etc. He also demanded a higher salary hike, and the company fulfilled it in May 2024. Now, the client is not happy with the frequent changes and has escalated the issue. The employee submitted the resignation 2 days before and needs to serve a 2-month notice period. We also don't have any projects in line to accommodate. The employee is requesting notice period negotiation. The company wants to terminate the employee on this. Please suggest.

You have used organizational terminology like KT without indicating what it is.

Notice period negotiation

The employee wants notice period negotiation; you should readily agree and get rid of the employee as fast as possible. You need not terminate the employee during the notice period; you can quickly accept the resignation and relieve the employee as fast as possible.