Training Dilemma: Should We Pay Full Wage or Stipend for Underperforming Trainees?

akshay-patil
Hi, I want to know how to deal with those employees who do not fulfill the criteria during the training period. As an employer, do we need to pay the full minimum wage, or can we pay a stipend amount for that period?
vmlakshminarayanan
Hi,

Once hired as an employee (even for training), the salary needs to be paid in full.

Employees who do not fulfill the criteria during the training period

I'm not sure what you mean by this. If you intend to say that their performance during the training period is not up to the mark, then identify where they are lacking and provide further training. In case of poor grasping ability, you may end the employment/training contract by following the proper separation clause as per the separation terms mutually agreed.
Dinesh Divekar
Dear Akshay Patil,

You have not mentioned in your post what type of training is provided upon joining the company, its duration, whether mid-training tests are conducted, and the final examination at the end of the training.

Whatever the poor performance during the training may be, you need to pay the minimum wages as applicable.

Is it mentioned in the appointment letter that part of the monthly payment will be linked to the training performance or the grades obtained in the training? If yes, then and only then can you link the monthly salary to the training performance. If such a clause is inserted, the trainees still become eligible to receive the minimum wages.

Thanks,

Dinesh Divekar
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