Notice period pay out

[mablevar]

How do you decide whether to pay out an employee or not for early release under the following circumstances:

1. The employee is asking for early release, but we do not have an alternate resource and require the employee to stay for 90 days.
2. The employee has completed all knowledge transfer (KT) and we no longer require him/her in the system.
3. We do not want the person to continue in the system during the notice period due to other reasons, such as wrongly influencing other colleagues.

[HRReliableGroup]

It totally depends on mutual understanding. Generally, companies sanction early release in lieu of salary. If an employee has requested for early release then in place of 90 days notice period, he can be told to deposit 90 days salary in lieu.

[kamlesh]

Hi,

All come under the purview of your company policy and the T&C mentioned in the appointment letter.

1. Technically employee has to serve the NP. if not then you can hold on to his FnF + experience and relieving letter.
2. In this case you can relieve him by deciding a mutual date.
3. Since employee is already in the NP, you can relieve employee early by paying out his remaining days. otherwise this may come under the disciplinary part, one has to be careful while doing this.

All the above should be done with proper communication and within the frame work of your company policies
But it is always a better option to settle issues amicably wherein both employee and company do not suffer.

[gargruchika2002]

Yes,It depends on mutual understanding. If an employee has requested for early release then in place of 90 days notice period, he can be told to deposit 90 days salary in lieu. (Short notice deduction will take place), we can not hold any dues for so long, as per compliance, within 30 days we need to Pay. (This impact on Gratuity /PF etc), we can hold Releving, exp letter.

[ravindra11]

[stewparker]

Thank you for this basic disscussion