Hi team, Just want to have a clarity on compensati...
# compensation-and-benefitss
Sruthi ldra
05/19/2023, 9:23 AMHi team, Just want to have a clarity on compensation. If an employee quitting the orgn without serving notice period is he/she eligible to get the relieving letter and FNF settlement on the day of exit.
Should we do any deductions from his FNF settlement? how the procedure will be. Can anyone explain from this group.
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Wristy
05/19/2023, 9:24 AMThey are eligible for FnF Settlement, within 45days of last working day. The deductions, if any, can be done based on company policy and management discretion.
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Gokul S
05/19/2023, 9:26 AMHi sruthi,
if an employee quiting from an organisation without seeving the NP ,he /she will not be eligible in getting the relieving letter and FNF
but based on some companies policies it may differ , but precisesly there is no need of relaesing experience cum relieving letter at the tym of exit process bcz they dont serve the NP
incase for the FNF settlement some companies though will release after 45 days
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Abhiruchi Atri
05/19/2023, 10:56 AMHey Sruthi
In case of an “absconding” employee, no documents are to be released. However the statutory payments like gratuity,PF etc will have to be released.
In case of proper intimation and resignation process, if the employee hasn’t served the NP, or needs early relieving- the NP days can be adjusted from their salaries and leave balance, if any.
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Ashish Vyas
05/19/2023, 2:08 PM@Sruthi ldra your question is split into 2
Ashish Vyas
05/19/2023, 2:14 PM1. F&F on the date of exit - F&F can be done within 45 days of the date of exit, with the necessary deductions - like Notice Pay Recovery, Asset Recovery, Loans & Advances if any.
2. Relieving Letter - If the employee has completed the entire hand over, and taken all the clearances - to be fair the employee should be given the Relieving Letter. Many a times organizations are adamant on making employees serve notice period - which legally they cannot - if the employee is ready to pay the Notice Pay in lieu of the same.
So depending on the management discretion the employee should be communicated the policy whether the person will be eligible to get the Relieving Letter or not.
It needs to be a fair treatment, and HR should be able to play the role of an Employee Champion and should represent the Employee in front of the management in such complex situations.
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Sruthi ldra
05/20/2023, 10:07 AMThank you all for the clarified explanation and suggestions.