Dear All, Whether retrenchment of employees is applicable in completion of project or closer of establishment in India? Members please post your comments and advice.
From India, Bhubaneswar
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138From India, Bhubaneswar
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Dear, we have to give Full & Final of worker at the time of removing him from his job.It is mandatory and as per Industrial Dispute Act. Please find the attached file of full & final of worker
From India, Jamshedpur
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From India, Jamshedpur
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Dear NPMB, You didn’t get my post I believe. I was asking regarding applicability of Retrenchment.
From India, Bhubaneswar
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From India, Bhubaneswar
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Dear Sir, If the project had taken more than 240 days the at the time of completion then please ensure the provision of Section 25 F ID Act.
From India, Pune
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From India, Pune
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[QUOTE=abedeen7;1721649]Dear All, whether retrenchment of employees is applicable upon completion of a project or closure of an establishment in India? Members, please post your comments and advice.
Terms of Employment and Retrenchment
It depends upon the terms of the offer cum appointment letter. Yes, if recruited only for a particular project, but not if recruited for the company without mention of a termination clause upon completion of a project.
Closure of Establishment in India
On closure of the establishment in India, timely intimation sufficiently in advance to the employees is a must about its intention to close the establishment and to ask them to make their alternative arrangements. Abrupt closure and retrenchment can cause a lot of problems for the company in the shape of several court cases.
Ethical Considerations and Employee Support
Ethically, when intending to close the establishment, the company must make its best efforts to get their absorption appropriately as per their qualifications and experience in other organizations by using their good offices and liaison with other companies so that over-age employees may not be left in a lurch.
Compliance with Legal Provisions
However, if it is an industrial establishment, it must comply with the provisions of section 25F of the ID Act. Regards.
From India, Delhi
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Terms of Employment and Retrenchment
It depends upon the terms of the offer cum appointment letter. Yes, if recruited only for a particular project, but not if recruited for the company without mention of a termination clause upon completion of a project.
Closure of Establishment in India
On closure of the establishment in India, timely intimation sufficiently in advance to the employees is a must about its intention to close the establishment and to ask them to make their alternative arrangements. Abrupt closure and retrenchment can cause a lot of problems for the company in the shape of several court cases.
Ethical Considerations and Employee Support
Ethically, when intending to close the establishment, the company must make its best efforts to get their absorption appropriately as per their qualifications and experience in other organizations by using their good offices and liaison with other companies so that over-age employees may not be left in a lurch.
Compliance with Legal Provisions
However, if it is an industrial establishment, it must comply with the provisions of section 25F of the ID Act. Regards.
From India, Delhi
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Thanks for your views. We hire employees for projects, and their employment lasts until the completion of the project. However, we are asked to pay retrenchment benefits to our employees and our contractor's employees. Is this justified? I want to know for my information, and we have no issue with paying compensation as they have worked for us.
Regards.
From India, Bhubaneswar
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Regards.
From India, Bhubaneswar
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Procedure for Closure of an Establishment.d oc
Payment of PF after closure of establishment 23.5.12.pdf