Hi I need some update on the layoff procedure, the ways by which it can be carried out effectively. regards, veena
From India, Bangalore
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11From India, Bangalore
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Dear Veena,
The purpose of this procedure is to provide the plan of implementation in the event of a workforce reduction. As far as possible, layoffs should not occur; ways should be found to eliminate layoffs, such as transfers and reducing overtime, etc. The purpose of a layoff procedure is to provide an implementation plan that ensures a layoff is administered without prejudice, is equitable to employees, and minimizes disruption to employees and the business function of the Department.
REASONS FOR A LAYOFF:
(1) Lack of funds
(2) Lack of work
(3) Organizational change
The layoff decision will be made by top management. According to the announcement, employees will be informed or discussions will be held with the Trade Union. Each employee will be given a notice period of approximately 15 days.
When a person loses their job, they already feel a sense of embarrassment; therefore, never fire or lay off a worker in front of others. If you can't do it yourself, at least limit the number of people involved in the procedure. Choose a private office or meeting room for the interview. Security experts recommend the area be near an exit and free of materials that could be used as weapons. Allow the employee to sit near the exit and give them "space."
Exit interviews are crucial. Be clear on why the worker is losing their position. Don't quibble; be straightforward and honest when giving reasons for the departure. Stick to the facts and don't back down.
Before approaching the individual, inform company security of possible hostility problems that may arise during the interview. Schedule the meeting at the beginning or end of the day or shift.
If the employee must return to the workplace, a supervisor should accompany them. If possible, a company representative and security agent should also be present in an unobtrusive way.
Sever all email, server connections, Internet, and Intranet access from the outgoing employee before their interview. Also, inform the employee that any return to the office or company property is strictly forbidden. If necessary to contact the company, it must be in writing and addressed to Human Resources.
Before meeting with the employee, have all the appropriate paperwork regarding the separation in order. Explain the benefit package afforded to the outgoing employee, such as health coverage, severance pay, and other services offered.
This is also the time to have the employee sign privacy, confidentiality, and non-compete agreements. It is recommended that the employee sign a "Release of Liability" agreement to cover any special negotiated or extended benefits offered beyond the usual package.
Collect all company keys, identification badges, cards, or name tags. The same goes for access card keys, corporate manuals, and telephone voicemail access codes.
Other company assets that need to be recovered include all company documents, laptop and desktop computers, handheld computers, scanners, printers, and disc duplicators. Remember information sources loaded on CDs, discs, and tapes.
Lastly, recover cell phones, company gas cards, telephone cards, discount cards, and company travel credit cards.
If hostility is sensed before, during, or after the meeting, contact security and have the employee escorted out of the building. Alert the reception area of what has occurred so they can be aware of any potential problems arising from the recent termination.
Once this is done, as per company policy, work on the full and final settlement providing all separation benefits.
I am also attaching a good article on layoffs and their procedures.
Hope this is helpful!
Best Regards,
Tina
From India, Mumbai
Acknowledge(0)Amend(0)
The purpose of this procedure is to provide the plan of implementation in the event of a workforce reduction. As far as possible, layoffs should not occur; ways should be found to eliminate layoffs, such as transfers and reducing overtime, etc. The purpose of a layoff procedure is to provide an implementation plan that ensures a layoff is administered without prejudice, is equitable to employees, and minimizes disruption to employees and the business function of the Department.
REASONS FOR A LAYOFF:
(1) Lack of funds
(2) Lack of work
(3) Organizational change
The layoff decision will be made by top management. According to the announcement, employees will be informed or discussions will be held with the Trade Union. Each employee will be given a notice period of approximately 15 days.
When a person loses their job, they already feel a sense of embarrassment; therefore, never fire or lay off a worker in front of others. If you can't do it yourself, at least limit the number of people involved in the procedure. Choose a private office or meeting room for the interview. Security experts recommend the area be near an exit and free of materials that could be used as weapons. Allow the employee to sit near the exit and give them "space."
Exit interviews are crucial. Be clear on why the worker is losing their position. Don't quibble; be straightforward and honest when giving reasons for the departure. Stick to the facts and don't back down.
Before approaching the individual, inform company security of possible hostility problems that may arise during the interview. Schedule the meeting at the beginning or end of the day or shift.
If the employee must return to the workplace, a supervisor should accompany them. If possible, a company representative and security agent should also be present in an unobtrusive way.
Sever all email, server connections, Internet, and Intranet access from the outgoing employee before their interview. Also, inform the employee that any return to the office or company property is strictly forbidden. If necessary to contact the company, it must be in writing and addressed to Human Resources.
Before meeting with the employee, have all the appropriate paperwork regarding the separation in order. Explain the benefit package afforded to the outgoing employee, such as health coverage, severance pay, and other services offered.
This is also the time to have the employee sign privacy, confidentiality, and non-compete agreements. It is recommended that the employee sign a "Release of Liability" agreement to cover any special negotiated or extended benefits offered beyond the usual package.
Collect all company keys, identification badges, cards, or name tags. The same goes for access card keys, corporate manuals, and telephone voicemail access codes.
Other company assets that need to be recovered include all company documents, laptop and desktop computers, handheld computers, scanners, printers, and disc duplicators. Remember information sources loaded on CDs, discs, and tapes.
Lastly, recover cell phones, company gas cards, telephone cards, discount cards, and company travel credit cards.
If hostility is sensed before, during, or after the meeting, contact security and have the employee escorted out of the building. Alert the reception area of what has occurred so they can be aware of any potential problems arising from the recent termination.
Once this is done, as per company policy, work on the full and final settlement providing all separation benefits.
I am also attaching a good article on layoffs and their procedures.
Hope this is helpful!
Best Regards,
Tina
From India, Mumbai
Acknowledge(0)Amend(0)
Hi Tina,
Thank you; it has definitely helped me to understand. I have a few more queries and hope to have answers for them ASAP.
a) Is it mandatory for the company to settle the accounts per the appointment letter, or can the company negotiate the same?
b) Can a company give 15 days' paid notice to the employees who would be laid off? Since the company would also have a business loss.
c) If the company gives them work in any other running project, can the company ask them to get into an agreement as the company spends lots of time and effort?
d) Can the company do this - give them some percentage of salary until the new projects are made available?
Please help me with these.
Regards,
Veena
From India, Bangalore
Acknowledge(0)Amend(0)
Thank you; it has definitely helped me to understand. I have a few more queries and hope to have answers for them ASAP.
a) Is it mandatory for the company to settle the accounts per the appointment letter, or can the company negotiate the same?
b) Can a company give 15 days' paid notice to the employees who would be laid off? Since the company would also have a business loss.
c) If the company gives them work in any other running project, can the company ask them to get into an agreement as the company spends lots of time and effort?
d) Can the company do this - give them some percentage of salary until the new projects are made available?
Please help me with these.
Regards,
Veena
From India, Bangalore
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