I joined a new company 6 months ago and am now requesting reimbursement of the buyout amount that was deducted by my previous employer. I am unsure whether my current employer will pay the Full and Final settlement (FNF) amount or one month's gross salary.
From India, New Delhi
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From India, New Delhi
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Hi Did you negotiate a buyout reimbursement when joining? please provide all the details so that members can give th proper suggestion
From India, Mumbai
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2508From India, Mumbai
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Total 90 days of notice period were decided; that 30 days I would serve, 30 days would be adjusted by leave, and the next 30 days would be paid by the current employer. However, they are only paying for the shortfall period, whereas we discussed payment for the full 30 days. Could you please guide me on whether what they are doing is correct?
Thank you.
From India, New Delhi
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Thank you.
From India, New Delhi
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Understanding Buyout Arrangements
Buyout is purely an arrangement between you and the employer. During the course of negotiation and before accepting the offer, you should reach a consensus regarding how much should be paid. The present employer might have thought that you expect an amount equal to the basic pay. In fact, the amount that the present employer should pay you should be equal to the amount that you paid to the previous employer by way of notice pay. Anyway, in this arrangement, the employee should not take advantage.
From India, Kannur
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Buyout is purely an arrangement between you and the employer. During the course of negotiation and before accepting the offer, you should reach a consensus regarding how much should be paid. The present employer might have thought that you expect an amount equal to the basic pay. In fact, the amount that the present employer should pay you should be equal to the amount that you paid to the previous employer by way of notice pay. Anyway, in this arrangement, the employee should not take advantage.
From India, Kannur
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Again, you have chosen not to give the full details but provide a cryptic post.
Question on Reimbursement
However, why do you think they should pay the entire 90 days' amount when, in reality, you have only paid 30 days to the previous employer? Are you trying to make a profit from it?
From India, Mumbai
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Question on Reimbursement
However, why do you think they should pay the entire 90 days' amount when, in reality, you have only paid 30 days to the previous employer? Are you trying to make a profit from it?
From India, Mumbai
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Notice Period Payment Considerations
What is the amount you paid as a notice period? That exact amount should be requested from your present employer.
Remember that negotiating for a 6-day salary or notice period payment, especially when you have just joined the company, may ultimately mark you as a problem creator in the confidential file. You don't know whether the company's culture will match your expectations. Similarly, you can't be certain if the company's expectations about you will align with the skills you bring. Simply put, you have not yet overcome the risk of your decision to leave the old company and join the new one. At this moment, negotiating over a few days' pay may create a negative impression.
From India, Kannur
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What is the amount you paid as a notice period? That exact amount should be requested from your present employer.
Remember that negotiating for a 6-day salary or notice period payment, especially when you have just joined the company, may ultimately mark you as a problem creator in the confidential file. You don't know whether the company's culture will match your expectations. Similarly, you can't be certain if the company's expectations about you will align with the skills you bring. Simply put, you have not yet overcome the risk of your decision to leave the old company and join the new one. At this moment, negotiating over a few days' pay may create a negative impression.
From India, Kannur
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Notice Period Buyout Concept
The concept of a notice period buyout is that by joining the new company early, the employee does not incur a financial loss in settling the number of days of the notice period not worked. So, if you paid for 23 days and the employer is reimbursing you that amount, it seems to be correct. You are not supposed to make a profit from the notice period buyout.
From India, Mumbai
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The concept of a notice period buyout is that by joining the new company early, the employee does not incur a financial loss in settling the number of days of the notice period not worked. So, if you paid for 23 days and the employer is reimbursing you that amount, it seems to be correct. You are not supposed to make a profit from the notice period buyout.
From India, Mumbai
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Understanding Buyouts
A buyout is a one-time payment made to an employee when they leave the company. Buyouts are typically agreed upon before an employee resigns and are used to prevent the employee from working for a competitor for a set period of time.
Key Clauses in a Buyout Agreement
When drafting a buyout agreement, there are three main clauses to consider: 1) the amount of money that will be paid, 2) who will be responsible for paying it, and 3) when the payments will be made.
So, as per the terms and conditions agreed, your buyout must be paid by your employer accordingly.
From India, Noida
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A buyout is a one-time payment made to an employee when they leave the company. Buyouts are typically agreed upon before an employee resigns and are used to prevent the employee from working for a competitor for a set period of time.
Key Clauses in a Buyout Agreement
When drafting a buyout agreement, there are three main clauses to consider: 1) the amount of money that will be paid, 2) who will be responsible for paying it, and 3) when the payments will be made.
So, as per the terms and conditions agreed, your buyout must be paid by your employer accordingly.
From India, Noida
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Good point raised by HROne. Did you have an agreement? Anything in writing? What exactly did it say?
From India, Mumbai
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From India, Mumbai
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Understanding Buyouts
A buyout is a one-time payment made to an employee when they leave the company. Buyouts are typically agreed upon before an employee resigns and are used to prevent the employee from working for a competitor for a set period of time.
Key Clauses in a Buyout Agreement
When drafting a buyout agreement, there are three main clauses to consider: 1) the amount of money that will be paid, 2) who will be responsible for paying it, and 3) when the payments will be made.
So, as per the terms and conditions agreed, your buyout must be paid by your employer accordingly.
From India, Noida
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A buyout is a one-time payment made to an employee when they leave the company. Buyouts are typically agreed upon before an employee resigns and are used to prevent the employee from working for a competitor for a set period of time.
Key Clauses in a Buyout Agreement
When drafting a buyout agreement, there are three main clauses to consider: 1) the amount of money that will be paid, 2) who will be responsible for paying it, and 3) when the payments will be made.
So, as per the terms and conditions agreed, your buyout must be paid by your employer accordingly.
From India, Noida
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