Company Shutdown: Employee Benefits and Approaches
When a private company is shut down by management, employees are often concerned about the benefits they should receive, particularly if they have been with the company for more than 20 years.
Benefits for Long-term Employees
Employees with long tenure should inquire about severance packages, which may include compensation based on years of service. Additionally, they should check for any retirement benefits, accrued leave payouts, and health insurance extensions.
Approach with Management
Employees should engage in discussions with management to negotiate additional benefits beyond the regular final settlement. This could include seeking assistance with job placement services or requesting a letter of recommendation.
Please share any further insights or experiences regarding this situation.
Regards,
From India, Mumbai
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When a private company is shut down by management, employees are often concerned about the benefits they should receive, particularly if they have been with the company for more than 20 years.
Benefits for Long-term Employees
Employees with long tenure should inquire about severance packages, which may include compensation based on years of service. Additionally, they should check for any retirement benefits, accrued leave payouts, and health insurance extensions.
Approach with Management
Employees should engage in discussions with management to negotiate additional benefits beyond the regular final settlement. This could include seeking assistance with job placement services or requesting a letter of recommendation.
Please share any further insights or experiences regarding this situation.
Regards,
From India, Mumbai
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If the company is shutting down, the company will pay you retrenchment compensation, which will be equal to 15 days' salary for every year of completed service. Besides, the employee needs to be paid the notice period amount, and other compensations made would be gratuity under The Payment of Gratuity Act (if the employee has completed 5 years of continuous service), in case the employer is covered under this act. Make sure to obtain the full and final settlements and also withdraw PF by filling forms for signatures required from the HR department.
Regards
From India, Visakhapatnam
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995Regards
From India, Visakhapatnam
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