Resigned during the leave

[swopendro]

A resource is currently on a long leave due to his health issue. He resigned during the course this leave, stating that he will not be able to continue and want to relieve immediately.

In this case, when should we consider his LWD to be as per the law: the day on which he resigned or the day he reported last.

[Dinesh]

Hi @swopendro!

Here more than law, it is how the HRD wants to deal with such situations. In my opinion, this completely depends on the internal policies that the company follows. Law merely prescribes a standard to be followed but does not delve on situations with solutions. It remains silent leaving it to the parties to decide.

[deepa.d]

Hi,

While your relieving date/last working date will depend on the termination clause of the Appointment letter or HR policy, logically speaking the specific case can be viewed as follows:

1. The fact that the employee was permitted to be on long leave due to health issue indicates that the leave was an authorised leave, i.e. a leave was applied for and sanctioned earlier by the authority, irrespective of whether or not he was being paid salary during such leave days. Records would already have been created by now showing that the employee was ‘on roll’ in the salary statements and other statutory registers including P.F, ESI etc. Changing the records is never a good practice.
2. Depending on the type of health concern, you will be able to judge if the situation is genuine and if the employee is incapable of serving a notice period (presuming you have collected his/her medical certificate/health record). If genuine, then there is no point expecting the employee to continue with the employment/serve notice period and it would be best for both parties to close the contract amicably on humanitarian grounds.

It is therefore recommended that the date of resignation be considered as the last working day and not the day he last reported. Other costs associated with the exit needs to be ascertained and suitable decision taken.

[vgulvady]

Hi,

In my opinion, the employee is still an active employee on the rolls of the company if leaves so taken are valid and approved by the organisation, then the LWD would be the date of resignation.

Hope this helps.

[Ankit]

Hi All,

As he was on a authorised/approved long leave and has intimated the company, so he is an active employee till date. Also once he has send the resignation & considering it a genuine case, you should relieve him immediately and request him to complete the exit formalities with submission of assets and other handover of documents & knowledge transfer.

Also, you should process the FNF as per company policy considering the resignation date as last working day and pay him all the benefits due to him.

[Arpana]

Hi,

In my opinion an employee is still working and on long leave. His LWD should be whenever the employee resigns.

So, his LWD will be as per his resignation.

Thank you.