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Anonymous
Hi Team, One of my friends was laid off from an organization within three months of probation, citing performance. However, the organization delayed this decision until the fourth month after probation. In the fifth month, they asked him to resign voluntarily; otherwise, they forced termination.

It was mentioned in the offer letter that "3 MONTHS Your performance and conduct will be monitored during this period, and if found satisfactory, your appointment will be confirmed. If ABC considers your performance or conduct to be unsatisfactory or unsuitable for the role, your probation period may be extended, or your employment may be terminated." Now they gave me one day's notice and asked me to resign forcefully on my own, which I did, and they did not give me compensation for 3 months. I have been without a job after this sudden shock for more than 2 months.

I asked them to reconsider my request and provide me with three months of compensation to offer financial relief until I secure a new job. They are continuously denying my request and saying, "We would have terminated you, but we gave you the option to resign."

Please assist me with whether there is anything we can do to get my compensation benefits.

Thank you.

From India, Pune
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Probation Extension and Termination

Probation can be extended, but it requires communication of such an extension. During the extended period, the employer can initiate termination without notice as well. In your friend's case, though the appointment order is weak, the act of the employer terminating his service cannot be considered illegal. Instead of termination, they offered him the option of resignation, which he accepted. What happened to him after his relieving is not their responsibility. Therefore, while the situation is unfair, there is no legal recourse.

From India, Kannur
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Termination During Probation

During either the initial probation period or the extended probationary period, services can be terminated by citing the clause in the probationary order. However, if an employee is confirmed and then management requests their resignation due to unsatisfactory performance, it is considered unethical. There may be other underlying issues with the management.

Notice Period and Compensation

If there is a clause in the appointment letter or confirmation letter stating that both parties must provide three months' notice for separation, and the employee is released without receiving salary in lieu of the notice period, the employee can either write to top management to explain the situation and request the owed salary, or take the matter to civil court, though the latter is not advisable. It would be best to move on and seek further opportunities. If the employee wishes to address the issue, they could consider writing a letter to the Managing Director or Director to explain the situation and seek a resolution.

From India, Chennai
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Here are some suggestions for negotiating a fair compensation package when laid off during the probation period:

Prepare in Advance

- Understand the Law: Familiarize yourself with relevant labor laws and regulations. Know your rights regarding probationary period dismissals, as this will form the basis of your negotiation. For example, in some regions, there are specific provisions about the reasons and procedures for dismissing probationary employees.

- Gather Evidence: Collect proof of your work performance, such as completed projects, positive feedback from colleagues or supervisors, and records of meeting work requirements. This evidence will help demonstrate that your dismissal was unjust or that you deserve proper compensation.

- Know Your Worth: Research the average compensation packages for similar positions in the industry and region. This will give you a benchmark to determine what is a fair offer.

Choose the Right Time and Place

- Select the Right Time: Pick a time when the decision-maker is likely to be receptive and not rushed or under pressure. Avoid busy periods or times when they may be dealing with other major issues.

- Opt for a Suitable Venue: Choose a quiet and private place for the negotiation, such as a meeting room. This ensures that you can have an open and honest discussion without distractions or interruptions.

Adopt the Right Negotiation Strategy

- Be Polite and Professional: Maintain a respectful and calm attitude throughout the negotiation. Avoid being confrontational or aggressive, as this may harm your chances of reaching a favorable agreement. Start by expressing your understanding of the company's situation while also highlighting your own needs.

- Clearly State Your Case: Present your arguments logically and clearly. Explain why you believe you are entitled to a fair compensation package, referring to your work performance, the circumstances of the dismissal, and any relevant legal provisions.

- Listen Actively: Give the other side a chance to speak and listen carefully to their perspective. Understand their concerns and constraints, and try to find common ground. This may involve some compromise on both sides.

- Propose a Reasonable Solution: Suggest a specific compensation amount or package that you think is fair, backed up by your research and evidence. Be prepared to justify your proposal and be open to counteroffers. You could also mention other forms of compensation, such as additional training opportunities or a positive reference letter.

- Use Positive Language: Positively frame your requests, focusing on the mutual benefits of reaching an agreement. For example, you could mention that a fair compensation package will help you transition smoothly and leave a good impression of the company.

Follow Up

- Put It in Writing: After the negotiation, if an agreement is reached, make sure to get it in writing. This could be in the form of an email or a formal settlement agreement. This ensures that both parties are clear on the terms and provides a record for future reference.

- Thank the Other Party: Send a thank-you note or email to the person you negotiated with, expressing your appreciation for their time and cooperation. This helps maintain a good relationship and leaves a positive impression.

As far as Three Months' Probation is concerned, the initial three months on the job are a testing period for both the employee and the company. This initial period will give the employee a chance to adjust to his/her position and to see whether the employee enjoys working for the Company. At the same time, it allows the Company to observe employee progress and evaluate his/her skills, talents, and aptitude for the Company business.

During the employee's trial period, his/her supervisor will discuss his/her performance with him/her and suggest solutions for any difficulty the employee may encounter because working in the right job is essential to satisfaction and progress. If the employee is not suited to the employee's present assignment, every effort will be made to determine his/her aptitude for another type of work. If it is decided that the employee's continued employment with the Company is not mutually beneficial – to the employee and the Company - the employee's employment will terminate without severance pay.

Although the employee won't be paid for any absence during his/her first three months of work, the employee will become a permanent member upon successful completion of his/her trial period.

Hope the above helps.

Thank you and best regards,
John Chiang

From Taiwan, Taipei
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"Laid off" is a misnomer for this case. Ultimately, it is a case of 'resignation' and not a 'termination' as per the record. Compensation may be possible only after completing one year of service. In your case, even this didn't happen. Therefore, you don't have a strong case to fight it out. Close the issue and pursue other options to gain a new job of your choice.

Meanwhile, you should do some 'soul searching' regarding your own performance to identify what you lack as an employee and try to improve your employability for a promising future. Don't lose heart; this is not the end of the world. Have courage and believe in yourself. Wishing you all the best.

From India, Bangalore
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Anonymous
3

Probation Period and Legal Implications

As per the guidelines of the Industrial Standing Orders Act, 1946, the probation period is 3 months. However, our Apex court has ruled that the probation period should be 2 months. In the case of Western India Match Limited Vs. Workmen, a clear rule for a 2-month probation period has been established (https://indiankanoon.org/doc/1104358/).

Challenges in Adhering to Labor Laws

The laws and guidelines of labor and employment in our democratic country are often not adhered to by companies. The probation period is sometimes misused as a tool to terminate employees. Everyone has a right to life, which includes the right to employment. There seems to be a lack of commitment from companies to adequately support probationers in becoming successful employees.

Company Obligations and Employee Rights

In this particular case, the company did not provide any feedback until the 4th month of probation and did not make efforts to address any observed performance shortcomings or deficiencies. Is it not a violation of the company's obligations to abruptly demand an employee's resignation without prior constructive feedback or improvement initiatives? Such actions reflect a dictatorial approach by the company, which is unjust and unacceptable in a democratic society.

Our government should rigorously enforce the rules and guidelines related to employment to ensure a fair and harmonious society!

From India, Pune
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