I am experiencing significant attrition in my business unit among employees with less than 3 months of tenure. They are leaving without any proper communication. If I ask for original certificates from the employees upon joining, are there any legal implications? Please help me.
From India, Chennai
Acknowledge(0)
Amend(0)
From India, Chennai
Acknowledge(0)Amend(0)
I don’t know of any legal Implication, some of the Companies are following it. You can also try refundable security deposit or bond for a specified time period
From India, Mumbai
Acknowledge(0)Amend(0)
3From India, Mumbai
Acknowledge(0)Amend(0)
Handling Employee Attrition: Strategies and Legal Considerations
We can collect the original certificates from freshers only. If the people have some experience, they won't submit their certificates.
For freshers, we can take certificates and ask them for a commitment of 1 or 2 years (based on your need).
For experienced individuals, we should be very particular about their background verification. We should also focus on their continuity of service with the past company or companies.
We can keep half-month salary as a security deposit. For example, every employee should serve a notice period; if not, we will retain this security deposit. Additionally, we will not issue any experience or relieving letter.
From India, Visakhapatnam
Acknowledge(0)Amend(0)
We can collect the original certificates from freshers only. If the people have some experience, they won't submit their certificates.
For freshers, we can take certificates and ask them for a commitment of 1 or 2 years (based on your need).
For experienced individuals, we should be very particular about their background verification. We should also focus on their continuity of service with the past company or companies.
We can keep half-month salary as a security deposit. For example, every employee should serve a notice period; if not, we will retain this security deposit. Additionally, we will not issue any experience or relieving letter.
From India, Visakhapatnam
Acknowledge(0)Amend(0)
Just find out the reasons for high attrition,either atmosphere of company or salary structure is not up to the mark. With regards shashi pandey
From India, Lucknow
Acknowledge(0)Amend(0)
From India, Lucknow
Acknowledge(0)Amend(0)
An employer has no right to keep the original certificate. WITHHOLDING A CERTIFICATE OF AN EMPLOYEE
Keeping an employee's certificate tied to your establishment amounts to a form of bonded labor, and you may be liable to respond to labor officials for such actions. You have no right to compel an employee to work for your company. Better working standards and pay should attract employees to your company.
From India, Thrissur
Acknowledge(0)Amend(0)
Keeping an employee's certificate tied to your establishment amounts to a form of bonded labor, and you may be liable to respond to labor officials for such actions. You have no right to compel an employee to work for your company. Better working standards and pay should attract employees to your company.
From India, Thrissur
Acknowledge(0)Amend(0)
Strategies to Address Employee Attrition
1. What you are offering - reduce it by 75% and inform them that once they complete 6 months, it will be paid with retrospective effect. Otherwise, that money will be used to recruit new people if they leave.
2. Just to get feedback - arrange an exit interview.
3. Bring your own "mole" as a new recruit and strictly instruct them not to disclose your friendship. Get real feedback on why people are leaving. You need to hit the bottom and uncover the real issues.
4. If you ask for certificates - (I do not know what company you are in) you will be treated like Marwari companies - even though they are the best.
From India, Hyderabad
Acknowledge(0)Amend(0)
1. What you are offering - reduce it by 75% and inform them that once they complete 6 months, it will be paid with retrospective effect. Otherwise, that money will be used to recruit new people if they leave.
2. Just to get feedback - arrange an exit interview.
3. Bring your own "mole" as a new recruit and strictly instruct them not to disclose your friendship. Get real feedback on why people are leaving. You need to hit the bottom and uncover the real issues.
4. If you ask for certificates - (I do not know what company you are in) you will be treated like Marwari companies - even though they are the best.
From India, Hyderabad
Acknowledge(0)Amend(0)
As far as legal implications are concerned, you cannot withhold the certificates of employees except for the purpose of verification. Secondly, there may be significant loopholes in the working system that you need to address.
Considerations for Employment Terms
As someone has already mentioned, you may want to specify the minimum number of years of employment and compensation. Consider including critical termination clauses such as a minimum notice period until a replacement is found, salary withholding during final settlement, potential legal actions, and a written resignation letter outlining reasons for leaving related to the workplace.
Addressing Attrition Issues
Issues such as salary discrepancies, relationship conflicts, or workload imbalances may be contributing to the attrition rate. It's crucial to conduct a thorough analysis and work towards resolving these issues.
Wishing you good luck in addressing these challenges.
From India, Bangalore
Acknowledge(1)Amend(0)
Considerations for Employment Terms
As someone has already mentioned, you may want to specify the minimum number of years of employment and compensation. Consider including critical termination clauses such as a minimum notice period until a replacement is found, salary withholding during final settlement, potential legal actions, and a written resignation letter outlining reasons for leaving related to the workplace.
Addressing Attrition Issues
Issues such as salary discrepancies, relationship conflicts, or workload imbalances may be contributing to the attrition rate. It's crucial to conduct a thorough analysis and work towards resolving these issues.
Wishing you good luck in addressing these challenges.
From India, Bangalore
Acknowledge(1)Amend(0)
dear GVP college student .. greetings appreciate ur participation.. pls let me know on which basis u told dat u can take crtfcts ? cn u pls quote any statutory sections of law..... rply soon
From India, Visakhapatnam
Acknowledge(0)Amend(0)
From India, Visakhapatnam
Acknowledge(0)Amend(0)
Dear Rajaramesh Sir, I know some of the Companies in Finance Sector and Keeping Original Certificates of the Employees. If its Not Legal then how come these well known companies are following this.
From India, Mumbai
Acknowledge(0)Amend(0)
From India, Mumbai
Acknowledge(0)Amend(0)
I don't think that is proper and legal. The employer can ask for a notarized copy of the original to keep in records. The concerned officer can ask for the "production" of the original to compare with the notarized copy and return the original at the "same" time. By law, nobody can keep the original document except the owner of that document.
Alternative Approach to Manage Attrition
Rather than facing regular attrition, take the employees on a contract roll initially for a short period (minimum 3 to 6 months) through a proper contractor or consultant. Inform the employees that based on their performance and attitude, they will be moved to the direct company roll. This may work out in two ways: you don't want to waste your time replacing people while you have a contractor (on a signed agreement for these arrangements). Also, you can keep the right persons with you.
Always keep the right people, those who have performed well. It's good for the organization's health and growth.
Wish you all the success.
From India, Bangalore
Acknowledge(1)
Amend(0)
Alternative Approach to Manage Attrition
Rather than facing regular attrition, take the employees on a contract roll initially for a short period (minimum 3 to 6 months) through a proper contractor or consultant. Inform the employees that based on their performance and attitude, they will be moved to the direct company roll. This may work out in two ways: you don't want to waste your time replacing people while you have a contractor (on a signed agreement for these arrangements). Also, you can keep the right persons with you.
Always keep the right people, those who have performed well. It's good for the organization's health and growth.
Wish you all the success.
From India, Bangalore
Acknowledge(1)Amend(0)
What you said is correct, but it is not applicable for all, like a software company. There is a need to provide training for 6 months, with no assurance that the employee will stay after completing the training. We need to find something more that can help with management. Deducting half the salary is a good idea, but it needs to be checked whether it is legal or not.
Regards,
Sharief
From India, Hyderabad
Acknowledge(0)Amend(0)
Regards,
Sharief
From India, Hyderabad
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
Employee Engagement – Scaling Down Attrition.pdf
SAMPLE Employee Attrition Calculation sheet for FY 09-10 .xls