One of my good friends was working in a pharma company. During a meeting, there was a heated discussion, and the Managing Director (MD) informed my friend that that day would be their last. My friend did not send an email regarding the discussion with the MD and also did not inform HR, who was present during the meeting. Consequently, my friend did not go to the office but returned all company property such as the laptop and ID card, except for the car. In an email, he mentioned his intention to purchase the car from the company.
After a month, HR sent an email stating that, due to the lack of notice, they would deduct three months' basic salary. However, the accounts have not been settled yet, and there has been no further communication. I seek advice on how my friend can receive his Full and Final (F & F) settlement without any deductions.
From India, Gurgaon
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After a month, HR sent an email stating that, due to the lack of notice, they would deduct three months' basic salary. However, the accounts have not been settled yet, and there has been no further communication. I seek advice on how my friend can receive his Full and Final (F & F) settlement without any deductions.
From India, Gurgaon
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It is your friend's mistake only. When an employee leaves the company, with or without serving the notice period, they have to submit the resignation letter or email copy. In your friend's case, there is no written confirmation to leave the company from the employer to the employee or a resignation letter from the employee to the employer. Therefore, the employer may assume that the employee has absconded, even if the company instructed the employee to go, due to the lack of a formal statement as per policy. The company's decision is justified.
The only chance is to advise your friend to write an email to HR and cc the MD, stating that there was a misunderstanding regarding the departure and the company's instructions to leave. If your friend receives confirmation from them, then they are safe to pursue their full settlement (F&F). If not, in accordance with company policy, deductions may be made.
Also, instruct your friend to complete the No Objection Certificate (NOC) by explaining why returning the laptop and car is not feasible. Once the NOC is finished, submit the resignation letter and await acceptance before proceeding with the settlement process.
Thank you.
From India, Hyderabad
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31The only chance is to advise your friend to write an email to HR and cc the MD, stating that there was a misunderstanding regarding the departure and the company's instructions to leave. If your friend receives confirmation from them, then they are safe to pursue their full settlement (F&F). If not, in accordance with company policy, deductions may be made.
Also, instruct your friend to complete the No Objection Certificate (NOC) by explaining why returning the laptop and car is not feasible. Once the NOC is finished, submit the resignation letter and await acceptance before proceeding with the settlement process.
Thank you.
From India, Hyderabad
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Do not make decisions hastily. Ask your friend to go and meet the management to settle things by discussing them face-to-face instead of making assumptions. It is not advisable for someone in a senior position (which I believe your friend is) to make decisions impulsively, especially in a negative manner. Decisions made in moments of emotional turmoil are likely to end in disaster.
There is nothing to lose if he personally resolves the issue, which includes addressing any outstanding matters such as settling accounts and returning the company car. Proper documentation is essential in cases of resignation, involving the notice period and the handover process, followed by the full and final settlement of accounts, including any company property in the employee's possession. Remember, your friend will need a relieving letter for future employment opportunities. The decision regarding the car should be made by the company, not the employee. Holding onto it and expressing a desire to purchase it does not constitute a favor.
Hopefully, tensions have eased or at least diminished significantly, allowing for a mature discussion instead of childish behavior.
Thanks and Regards
From India, Hyderabad
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There is nothing to lose if he personally resolves the issue, which includes addressing any outstanding matters such as settling accounts and returning the company car. Proper documentation is essential in cases of resignation, involving the notice period and the handover process, followed by the full and final settlement of accounts, including any company property in the employee's possession. Remember, your friend will need a relieving letter for future employment opportunities. The decision regarding the car should be made by the company, not the employee. Holding onto it and expressing a desire to purchase it does not constitute a favor.
Hopefully, tensions have eased or at least diminished significantly, allowing for a mature discussion instead of childish behavior.
Thanks and Regards
From India, Hyderabad
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I beg to differ with the views expressed above. The MD has asked your friend to leave following a heated discussion. It is the MD's decision to terminate his services, and notice or notice pay has to be complied with by the company. There is no question of resignation by your friend, and no notice is required as it is not his action.
Your friend should go on record stating the sequence of events leading to the MD's decision asking him to leave. Also, mention that he continues in the service until communicated otherwise. Hold on to the car and skillfully bargain for a full and final settlement and smooth separation in lieu of the return of the car.
Regards, Vinayak Nagarkar HR Consultant
From India, Mumbai
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Your friend should go on record stating the sequence of events leading to the MD's decision asking him to leave. Also, mention that he continues in the service until communicated otherwise. Hold on to the car and skillfully bargain for a full and final settlement and smooth separation in lieu of the return of the car.
Regards, Vinayak Nagarkar HR Consultant
From India, Mumbai
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Full n final settlement.doc
Full & Final Payment.xls